Effects of Organizational Justice and Organizational Citizenship Behavior on Employee Turnover Intention

Abstract

Employee turnover is an on-going concern among researchers due to its negative impacts towards organizations. Given the rising rate of employee turnover in a utility company in Malaysia, some attention should be paid on the factors that might influence the employees to leave the organization. Underpinned by social exchange theory, the study was aimed to identify the relationship between organizational justice, organizational citizenship behaviour, and turnover intention. Besides, this study aims to test the mediation effects in the research framework. Research hypotheses are tested by conducting a cross-sectional survey at the utility company located in Klang Valley. Using convenience sampling method, 750 employees were involved which yielded 391 usable responses. Partial least squares structural equation modeling technique was applied to test the proposed research hypotheses. The results have confirmed that distributive justice was significantly related with the turnover intentions of the staff, whereas the other three dimensions of organizational justice were not in the hypothesized negative direction. The results also confirmed the mediatory effect of organizational citizenship behaviour directed at individuals on the relationships between procedural justice and turnover intention. This study provides useful insights for managers and HR practitioners to take remedial measures to retain the employees for long-term.

Impact of Performance Appraisal Fairness on Employee Productivity in Nigerian Federal Regulatory Agencies

“…Studies by Tremblay et al (2019) explore the impact of perceived inequity on various employee outcomes, highlighting its negative influence on motivation and performance. Providing transparent criteria for appraisals and ensuring clear communication regarding how performance evaluations are conducted can enhance perceptions of fairness (Bretz et al, 1992;Rusbadrol et al, 2021). Equitable distribution of rewards based on performance appraisal outcomes can mitigate perceptions of inequity and promote higher productivity (DeConinck, 2010).…”

“…Organizational justice refers to the extent to which individuals within an organization believe that the rewards they receive and how they are treated are fair and in line with expected moral and ethical standards (Rusbadrol et al, 2021). Organizational Justice is based on the equity theory and opines that employees who are treated equally usually exhibit positive attitudes toward their work and manifest effective working behaviour.…”

Organizational Justice and Its Effects on Employee Retention in Banana Companies: A Quantitative Analysis

“…Moreover, [67] stated that organizations that implement organizational justice through transparent and fair decisionmaking procedures empower employees, foster a sense of importance, and increase their likelihood of staying with the organization. Lastly, [68] agreed that employees who perceive high levels of organizational justice believe that the corporation is fair in its reward allocation, enhancing their sustained commitment to the organization.…”

The Effects of Organizational Justice on Employee Performance Using Dimension of Organizational Citizenship Behavior as Mediation

“…Justice is defined as a condition of work that makes individuals believe that they are being treated fairly or unfairly [27]. OJ refers to the extent to which individuals believe that the rewards received and how individuals are treated in organizations are fair and in line with expected moral and ethical standards [28]. OJ occurs when the organization ensures fair and polite interaction, ethical and impartial decision making, fair benefit and compensation packages, and sharing necessary information and feedback with employees [29].…”