Psychological diversity climate: justice, racioethnic minority status and job satisfaction

Abstract

Purpose The purpose of this paper was to develop and test a model examining how hotel managers’ psychological diversity climate affects job satisfaction, the moderating effect of racioethnic minority status and the mediating role of organizational justice. Design/methodology/approach A sample of frontline managers from 164 individual hotel properties was used. Hierarchical linear regression analysis was used to examine the underlying mechanism through which psychological diversity climate impacts job satisfaction. Findings The results found support for the mediating effect of organizational justice between managers’ psychological diversity climate and job satisfaction. Racioethnic identity moderated the relationship between psychological diversity climate and organizational justice, thereby supporting the mediated-moderated model proposed in the current research. Practical implications The findings show the importance of improving employee perceptions of diversity climate and organizational justice, particularly through recruitment practices, incorporating diversity into the corporate values, adopting formal diversity management practices and educating managers about the importance of diversity through formal training methods. Originality/value Little research has examined the underlying mechanisms that explain why psychological diversity climate affects organizational attitudes. Even less research has examined whether the link between a perceived positive diversity climate and job satisfaction is stronger for racioethnic minorities. These results provide meaningful insights for researchers because the hospitality industry is one of the largest employers of racioethnic minorities and immigrant employees.

Do Psychological Diversity Climate, HRM Practices, and Personality Traits (Big Five) Influence Multicultural Workforce Job Satisfaction and Performance? Current Scenario, Literature Gap, and Future Research Directions

“…Manning, Curtis, and McMillen (1996) argued that an organization with diverse culture workforce enjoys the benefits of less turnover, higher organizational commitment, and better job performance. Furthermore, past studies have also confirmed that effective diversity practices enhance employees and organizational performance (Hye et al, 2015;Madera et al, 2016). Holck et al (2016) suggested that if diversity categories are seen as fixed and unified, HR professionals can simplify their work by tailoring diversity practices for whole groups rather than individuals.…”

“…However, Myung, Jaeyong, and MiYoung (2017) reasoned that conflicting findings of proposed diversity outcomes might be due to poor conceptualization and operationalization of diversity construct. Furthermore, researchers (Madera, Dawson, & Guchait, 2016;Holck, Muhr, & Villeseche, 2016) argued that embracing diversity helps organizations contribute to improved competitive advantage through enhancing diverse workforce job performance. In addition, Monga (2008) also argued that workforce diversity plays a vital role in gaining competitive advantage if managed effectively.…”

Psychological Diversity Climate, Organizational Embeddedness, and Turnover Intentions: A Conservation of Resources Perspective

“…Psychological diversity climate can exist at either the unit- or organization-level, when it is conceptualized as shared perceptions among group members, or at the individual level, when focused on individual employee perceptions. Following existing diversity climate research in the hospitality industry (e.g., Madera et al, 2013, 2016, 2017), the present study focuses on individual-level climate (often referred to as psychological climate) because the primary drivers of employee attitudes and behaviors are not objective social cues, but individual perceptions and interpretations of these cues (James et al, 2008).…”

“…There is growing academic and practical recognition that diversity and inclusion in organizations is both valuable for firm performance and a normative ethical obligation of organizations (e.g., De Anca & Vega, 2016; Hunt et al, 2015; Lorenzo & Reeves, 2018; Roberson et al, 2017; Singal, 2014). Understanding diversity is particularly important in hospitality, which is made up of one of the most diverse workforces of any American industry (Madera et al, 2016; Manoharan & Singal, 2017). In fact, the hospitality industry is one of the largest employers of immigrants and racial and ethnic minorities (Jackson & DeFranco, 2005; Madera et al, 2012), and racial and ethnic minorities are overrepresented in the hospitality workforce compared with the U.S. workforce in general (Kalargyrou & Costen, 2017).…”

“…employees’ perceptions about the extent to which their organization values diversity as evident in the organization’s formal structure, informal values, and social integration of underrepresented employees” (Dwertmann et al, 2016). While informative, these efforts (e.g., Madera et al, 2013, 2016, 2017) have largely focused on the attitudinal outcomes of diversity climate and have been limited to tests in a single population (hotel managers). However, much remains to be learned about the role that diversity climate perceptions may play in other important outcomes in the hospitality industry, such as employee retention (Manoharan & Singal, 2017).…”