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EMPLOYEE VOICE AND JOB

SATISFACTION IN AUSTRALIA:
THE CENTRALITY OF DIRECT
VOICE
PETER HOLLAND, AMANDA PYMAN,
BRIAN K. COOPER, AND JULIAN TEICHER

This study examines the relationship between employee voice and job satis-
faction using data from the 2007 Australian Workplace Representation Survey
(AWRPS) of 1,022 employees. Drawing on human resource management and
industrial relations literature, we test hypotheses concerning the relationship
between direct and union voice arrangements and job satisfaction. This rela-
tionship represents a gap in the literature, which is important from both theo-
retical and practical perspectives. Controlling for a range of personal, job, and
workplace characteristics, regression analyses suggest that although evidence
of voice complementarity exists, direct voice appears to be the central voice
arrangement underpinning employees’ job satisfaction. The article concludes
by highlighting the study’s implications for management practice and identifies
avenues for further research. © 2011 Wiley Periodicals, Inc.

Keywords: job involvement, communication, unions, employee participa-


tion, employee relations, organizational effectiveness and satisfaction, em-
ployee voice

Introduction
1997; Wright, 2006). Neglecting a potential
his study extends research on em- relationship between these two variables is

T ployee voice and job satisfaction by


examining the relationship between
these two variables. While both em-
ployee voice and job satisfaction
have been the subject of considerable re-
search, the potential link between voice ar-
rangements and job satisfaction has largely
surprising for three reasons. First, employee
voice has been shown to be positively related
to other work behaviors, attitudes, job out-
comes, and organizational performance (Cox
et al., 2006; Jones, Jones, Latreille, & Sloane,
2009; Wood & Wall 2007). Second, the effect
of employee involvement on job satisfaction
been neglected (Cox, Zagelmeyer, & March- is well established from the contemporary
ington, 2006; Oshagbemi, 1999; Spector, psychology literature. This has led to the

Correspondence to: Amanda Pyman, senior lecturer, HRM and Employment Relations, Department of Management,
Monash University, Caulfield, Victoria, Australia, Phone: + 61 3 9903 2036, Fax: + 61 3 9903 2718,
E-mail: Amanda.Pyman@monash.edu.

Human Resource Management, January–February 2011, Vol. 50, No. 1, Pp. 95 – 111
© 2011 Wiley Periodicals, Inc.
Published online in Wiley Online Library (wileyonlinelibrary.com).
DOI: 10.1002/hrm.20406
96 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

advocacy of “job enrichment” initiatives, balance between work-role inputs and work-
and, more recently, a call for employee in- role outputs, both with attendant impacts on
volvement practices to promote organiza- job satisfaction (Sousa-Poza & Sousa-Poza,
tional commitment and perfor- 2000). Important changes to work-role inputs
mance (Green & Tsitsianis, 2005, and work-role outputs include: changing lev-
The paper also p. 412). Third, job satisfaction is els of task discretion and employee involve-
known to be a significant attitudi- ment; increased job-risk; the increased skills of
makes important
nal variable associated with em- jobs and workers; and widespread evidence of
contributions to both ployee commitment and both job work intensification, increased stress, and de-
and organizational performance. teriorating work-life balance (Green, 2006;
theory and practice. For example, reviews of interna- Green & Tsitsianis, 2005; Sousa-Poza & Sousa-
tional research reveal considerable Poza, 2000).
First, it contributes
meta-analytic evidence (e.g., Har- In this article, we investigate two main
to theory because ter, Schmidt, & Hayes, 2002) that questions. The first question relates to the
job satisfaction reliably predicts a relationship between discrete employee
employee voice range of organizational-level voice arrangements and job satisfaction: To
outcomes, including customer what extent do employee voice arrange-
arrangements and
satisfaction, productivity, em- ments affect job satisfaction? The second
job satisfaction ployee turnover and absenteeism, question relates to complementarity: Do
service quality, and financial per- employees with multiple voice arrangements
are both pivotal formance (e.g., Fulmer, Gerhant, in their workplace have higher job satisfac-
& Scott, 2003; Hammer & Avgar, tion? Based on Cox et al. (2006), we define
to individual and 2007; Harrison, Newman, & Roth, complementarity as the co-existence and
organizational 2006; Jones et al., 2009; Saari & reinforcement of employee voice arrange-
Judge, 2004; Wang & Lee, 2009). ments; that is, dual-channel employee voice
performance. In this study, we focus on the arrangements that depend on one another
relationship between employee for successful operation. The present study
Likewise, it voice arrangements and job satis- contributes to the literature by examining
faction for two additional reasons. empirically how employee voice regimes are
contributes to
First, the contours of employee linked with job satisfaction using cross-sec-
practice because voice in advanced market econo- tional data from a large, representative sam-
mies have changed significantly, ple of Australian employees. The paper also
employer agency with a relentless decline in repre- makes important contributions to both the-
sentative, participatory structures ory and practice. First, it contributes to the-
and human resource
through trade unions (Charlwood ory because employee voice arrangements
management & Terry, 2007), and an increase in and job satisfaction are both pivotal to indi-
alternative representative and par- vidual and organizational performance.
strategy play a key ticipatory arrangements, including Likewise, it contributes to practice because
non-union employee representa- employer agency and human resource man-
role in formulating,
tion and direct two-way agement strategy play a key role in formulat-
implementing, and communication (direct voice; e.g., ing, implementing, and operating employee
Charlwood & Terry, 2007; Holland, voice arrangements and their subsequent
operating employee Pyman, Cooper, & Teicher, 2009). impact on job satisfaction.
Australia is no exception in this
voice arrangements regard, as the results presented in
Employee Voice and Job Satisfaction
and their this paper demonstrate. Second,
job satisfaction is of particular in- As Danford, Durbin, Richardson, Tailby, and
subsequent impact terest in view of systematic and Stewart (2009) note, the concepts of worker
significant workplace changes in participation and employee voice remain
on job satisfaction. the late 20th and early 21st centu- highly imprecise, too often underpinned by
ries, which have likely altered the the nebulous idea of “participation in

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 97

management decision making” (p. 338). Aca- a means to enhance productivity and em-
demics have given considerable scrutiny to ployee commitment to the organization
the principles and practice of employee par- (Boxall et al., 2007; Wood & Wall, 2007).
ticipation in recent years, with much of this
research seeking to establish or refute pro-
Understanding Job Satisfaction
posed links between participation processes
and better organizational governance and Job satisfaction has been developed more
performance (Danford et al., 2009, p. 337). extensively—both theoretically and empiri-
Within the human resource management cally— than employee voice within the liter-
(HRM) literature, researchers have increas- atures of sociology, industrial psychology,
ingly advocated employee voice as a means and organizational behaviour
to engender employee commitment and en- (e.g., Hoste, Sevatos, & Cooper,
hance organizational performance and com- 2006; Oshagbemi, 1999; Spence Voice arrangements
petitiveness (e.g., Boxall, Purcell, & Wright, Laschinger, Finegan, & Shamian,
can be direct or
2007; Wood & Wall, 2007). In this way, it 2001; Wright, 2006). At its sim-
parallels the trajectory of the employee par- plest level, job satisfaction is an representative and
ticipation literature in the 1970s and 1980s, attitudinal variable that describes
with employers advocating the contribution the extent to which people like or can be delivered in
of participation to performance in response dislike their work (Saari & Judge,
several ways.
to union rights based on advocacy for indus- 2004; Spector, 1997). Lok and
trial democracy (Vaughan, 1986, pp. 33–37). Crawford (2001) extended this
Employee voice originated in due process, argument, suggesting that job satisfaction is a
employee rights, and justice in the employ- person’s perception or appraisal of the degree
ment relationship (McCabe & Lewin, 1992) of fit between that individual and the organi-
and is inextricably linked to the purposes of zation. This is consistent with Locke’s (1976,
unions (Freeman & Medoff, 1984). As March- p. 1299) classic definition of job satisfaction
ington (2007) argued: as a pleasurable or positive emotional state,
resulting from the appraisal of one’s job or
Voice is probably the area in HRM job experience. Implicit in this definition of
where tensions between the organisa- job satisfaction as an employee attitude is the
tion and workers’ goals and between importance and interdependence of both af-
shareholders’ and stakeholders’ views fect (feeling) and cognition (thinking) (Locke,
are the most apparent, because it con- 1976; Saari & Judge, 2004).
nects with the question of managerial Empirical research has shown that orga-
prerogatives and social legitimacy. nizational variables are more strongly related
(p. 142) to job satisfaction than are personal attri-
butes (Blegen, 1993). Several researchers have
Voice arrangements can be direct or rep- identified significant relationships between
resentative and can be delivered in several individual empowerment (as an organiza-
ways: via a union, through management ini- tional practice) and job satisfaction; therefore,
tiatives, or as part of a dual channel where information sharing and autonomy are
management-led voice and union representa- central HRM practices underpinning empow-
tion are both present (Bryson, Gomez, erment (e.g., Seibert, Silver & Randolph,
Kretschmer, & Willman, 2007, p. 395). The 2004; Spence Laschinger et al., 2001; Ugboro
degree of influence or power attached to each & Obeng, 2000; Wang & Lee, 2009). Workers’
voice arrangement varies significantly (Cox who enjoy more autonomy have been found
et al., 2006). In practice, it has been observed to have a greater preference for participation
that the decline in collective voice in Austra- (Gardell, 1977), but the two concepts (au-
lia and other Anglo-American countries has tonomy and voice/participation) are concep-
been accompanied by the diffusion of direct tually different (Wood & Wall, 2007). Draw-
voice, with priority being placed on voice as ing on prior theory and research, therefore,

Human Resource Management DOI: 10.1002/hrm


98 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

we examine the relationship between employees have the appropriate motivation


employee voice arrangements as an organiza- (Applebaum, Bailey, Berg, & Kalleberg, 2000 as
tional variable and job satisfaction. cited in Wood & Wall, 2007, p. 1340).
Recognizing that employee voice may have Consistent with these developments, the
a positive impact on various human relations school of thought has linked
dimensions of organizational per- employee voice to efficiency arguments,
Direct voice formance has led to a wider which present employee involvement largely
can therefore conceptualization of voice that as the motivational effects of enhancing em-
extends beyond union activity. ployees’ perceptions of the firm as a commu-
elicit positive In the absence of statutory nity (Brewster et al., 2007). These themes
regulation (e.g., laws relating to have been echoed in subsequent HRM litera-
benefits for the European Works Councils and In- ture, in which direct employee voice
formation and Consultation and arrangements—defined here as two-way
firm by promoting
co-determination in Germany), communication channels between employ-
or instilling employers can choose from a vari- ees and management—have been linked to
ety of employee voice arrange- empowerment. In this context, information
organizational ments (Willman, Bryson, & Gomez, sharing, task discretion, and autonomy are
2006). Both internal and external key practices that underpin empowerment
values and
influences to the firm, therefore, and are positively related to job satisfaction
corporate culture shape employers’ choices of voice (e.g., Ackers, Marchington, Wilkinson, &
arrangements. Brewster, Croucher, Dundon, 2005; Green & Tsitsianis, 2005).
that facilitate Wood, and Brookes (2007, p. 1251) From a theoretical viewpoint, the HRM
argued that the changing contours literature has argued that the employer, in ex-
employee motivation
of the external environment, change for granting employees’ direct voice,
and commitment and including national governments’ can more effectively engage employees by fa-
moves toward labor-market dereg- cilitating communication between manage-
potentially enhance ulation, increased competition, the ment and workers in the absence of a “distant”
global decline of organized labor, intermediary (Bryson, 2004). It has been fur-
satisfaction, quality, and the spread of neo-liberal ide- ther argued that treating employees as indi-
loyalty, productivity, ologies have provided a favorable viduals rather than as a collective may mean
environment for the spreading of managers can better understand employees
and organizational HRM. This has led to gradually and respond to their diverse needs and inter-
supplanting collective voice ests (Bryson, 2004). Direct voice can therefore
performance. arrangements with individual elicit positive benefits for the firm by promot-
arrangements geared toward ing or instilling organizational values and
enhancing productivity rather than workplace corporate culture that facilitate employee mo-
democracy. Management has used this oppor- tivation and commitment (Flood & Toner,
tunity to develop a new style of HRM that 1997, as cited in Verma, 2005) and potentially
features high commitment, high involvement enhance satisfaction, quality, loyalty, produc-
management, or high performance work tivity, and organizational performance. These
systems in which direct communication and benefits may accrue to the firm through in-
employee involvement in productivity or qual- creased information flows to and from man-
ity enhancing innovations play a central role agement, which promote better solutions to
(Cox et al., 2006). Involvement or voice is seen problems and lower quit rates (Willman et al.,
as a means to secure workers’ consent to ex- 2006). Empirical support exists for these argu-
pend discretionary effort (Edwards, 2003). This ments; for example, Bryson (2004) found that
discretion can be harnessed in three ways: (1) direct voice was more effective in eliciting (per-
through providing for employee participation ceived) managerial responsiveness than repre-
in substantive “shopfloor” decisions; (2) pro- sentative voice. Based on the theoretical argu-
viding the necessary skills to make employees’ ments and prior research, therefore, we expect
efforts meaningful; and (3) ensuring that a positive relationship between direct employee

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 99

voice and job satisfaction, and present our first influence the number of voice arrangements
hypothesis: available and the number of employees in-
volved in participation programs also pro-
Hypothesis 1: Direct voice will be positively as- vide a strong case for the efficacy of union
sociated with job satisfaction. voice (e.g., Benson, 2000; Goll, 1991; Verma,
2005). The presence of a union, however,
does not guarantee bargaining; thus, a union
Union Voice and Job Satisfaction
cannot ensure that workers have the oppor-
Despite the assumed benefits of direct em- tunity to voice their concerns (Verma, 2005;
ployee voice in the HRM literature, the Wood & Wall, 2007).
industrial relations literature has argued Empirical research has examined the
that for voice to be effective in influencing relationship between union voice and job
management behavior it must be a union satisfaction with mixed results, partly
voice (Freeman & Medoff, 1984). The because different researchers have used dif-
assumption is that trade unions, as a “third ferent proxies for union voice (e.g., pres-
party” or external voice, are best placed to ence, membership) and job satisfaction. For
jointly regulate the employment relation- example, Renaud (2002) found that union
ship, to deliver organizational justice, and membership had a negative relationship
to provide a balance between equity and with job satisfaction. Several theoretical
efficiency. These effects are supposed to arguments have been advanced to explain
occur because unions are “independent” the negative relationship between unions
representatives of employee interests and and job satisfaction. First, employees with
are accountable democratically to their lower job satisfaction are more likely to join
members (Brewster et al., 2007; Charlwood a union to try to improve their employment
& Terry, 2007; Tailby, Richardson, Upchurch, terms and conditions (Charlwood, 2002;
Danford, & Stewart, 2007; Wood & Fenton- Freeman & Medoff, 1984). Second and
O’Creevy, 2005). Because of the inherent related, unionized workers are more likely
character of unions, they have collective to be dissatisfied than their non-union
resources and sanctions for non-compli- counterparts. This is because for unions,
ance, making them less susceptible to man- giving workers a voice in workplace matters
agerial influence and control (Tailby et al., is a primary goal. Unions thus raise aware-
2007; Wilkinson, Dundon, Marchington, & ness of management inadequacies and man-
Ackers, 2004). Relatedly, union voice allows agement failure, which can adversely affect
employees greater freedom to raise concerns job satisfaction (Gallie, White, Cheng &
without fear of being victimized; as a means Tomlinson, 1998; Garcia-Serrano, 2009;
to ensure fair treatment from management Guest & Conway, 1999; Verma, 2005).
(Verma, 2005). Freeman and Medoff (1984) A third argument is that unionized jobs
also recognized this strength of union voice, tend to be inherently less pleasant than non-
arguing that unions have a positive effect union jobs; thus, workers become primed to
on organizational performance by reducing look for improvements (Garcia-Serrano, 2009;
grievances, which in turn promotes em- Hammer & Avgar, 2007). While this proposi-
ployee satisfaction and reduces labor turn- tion is debatable with the rise of unorganized,
over and absenteeism. Importantly, union low-skilled work in Anglo-American countries,
voice may also provide an avenue through it is important that any empirical investiga-
which workers can suggest improvements tion of the impact of unions on job satisfac-
to working practices, such as training and tion includes measures for working conditions
health and safety, and may provide greater and job attributes such as employee autonomy
job security. Such factors enhance employee in the workplace. This leads to a fourth argu-
discretionary effort (Freeman & Medoff, ment that Bryson (2004) and others (e.g.,
1984; Kroumova & Lazarova, 2009). Em- Bryson & McKay, 1997) have advanced: that
pirics showing that union settings positively unions increase the number of dissatisfied

Human Resource Management DOI: 10.1002/hrm


100 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

employees by encouraging them to express a is clear that employers have a choice regard-
voice rather than quitting, because this is less ing the employee voice arrangements they
costly than leaving the organization. This ex- adopt. As Willman et al. (2006) explained,
pression of voice may then lead to a poorer this can be thought of as an employer deci-
industrial relations climate and adversely af- sion regarding workplace governance under
fect job satisfaction. Garcia-Serrano (2009) ar- conditions of uncertainty and risk. As Hyman
gued, however, that this dissatisfaction is not (2004) argued, however, the relative efficacy
genuine; that there is a distinction between and sustainability of voice arrangements is
true and voiced dissatisfaction and voiced dis- tied closely to other systemic social and eco-
satisfaction is a device unions use to demand nomic features, including the national busi-
more in bargaining. By implication, Guest and ness system. Recognizing both employer
Conway (2004) and Kochan (1979) argued agency and the influence of national busi-
that unions must sustain expectations of fu- ness systems on governance within and be-
ture benefits to retain members, because dis- yond the firm has led to an argument that
satisfaction in itself will not necessarily per- mutually reinforcing voice arrangements may
suade employees to join unions. Employees coexist, optimizing employee wages and
also need to believe that unionization will re- working conditions, productivity, and orga-
duce their level of dissatisfaction. nizational performance (Brewster et al., 2007).
A final argument is that unions, by their Cox et al. (2006) referred to this as the
nature, protect jobs by restricting job classifi- breadth of participatory practices, assuming
cations and maintaining demarcations. These that combinations of direct and indirect
stringencies reduce autonomy and challenge, voice arrangements can generate positive
which are key determinants of job satisfaction synergies that enable workers and their repre-
(Hammer & Avgar, 2007). As Bryson, Cappel- sentatives to assemble information and en-
lari, and Lucifora (2004) noted, however, the gage more confidently with management.
role of a union is to increase job satisfaction. Importantly, employers’ constrained choices
Thus, findings that identify a negative rela- in adopting certain configurations of partici-
tionship may be linked to spurious correla- patory arrangements are connected with the
tions. For example, people predisposed to presence of employee voice in the workplace,
joining unions may have higher expectations though these relationships have not been
at the outset, or sorting—the notion that job precisely determined.
dissatisfaction, generated by the heterogeneity The notion that employee voice arrange-
of jobs or individuals—causes unionization ments are complementary challenges earlier
(Bryson, Cappellari, & Lucifora 2004; Garcia- theoretical arguments of “union substitution,”
Serrano, 2009). Despite inconsistent empirical which assumed that firms used substitution
findings regarding the impact of union voice tactics to make union organization unviable
on job satisfaction, on the basis of the theo- or undesirable for employees (Fiorito, 2001;
retical propositions discussed we propose our Kochan, 1980). Indeed, at the core of the mu-
tual gains model is the idea that unions can
second hypothesis:
exist alongside other institutions, and through
these institutions and their own enhanced
Hypothesis 2: Union voice will be negatively
involvement in strategic and production deci-
associated with job satisfaction.
sions, employee voice will increase (Bryson,
2004; Kochan & Osterman 1994; Bryson
Voice Complementarity and Job 2004). Even without a significant extension in
Satisfaction the union role, employees will gain by having
At a practical level, given the changing con- a direct voice in areas traditionally outside the
tours of employee voice in advanced market union’s remit (Cox et al., 2006, ). In addition,
economies, including Australia, and docu- mutual gains organizations2 are deemed to
mented trends of the increased use of multi- provide the best results for employers and em-
ple (“dual-channel”) voice arrangements,1 it ployees when combined in bundles: a coher-

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 101

ent, complementary, and mutually reinforcing considered. In this vein, evidence suggests that
combination of HRM practices, including em- union support of joint consultation is associ-
ployee involvement (Kauhanen, 2009). Con- ated with better outcomes for employers and
sistent with this notion, it is argued that the employees (Eaton & Voos, 1992).
simultaneous multiple voice arrangements are Unions are assumed to have a posi-
strengthened by one another and better reflect tive impact on the effectiveness of The data reported
the heterogeneous qualities of a modern work- participation programs because
in this study
force across a diverse spectrum of workplace they provide greater job security,
issues (Bryson, 2004; Storey 1992). Further, protect employees against arbitrary were drawn from
they provide the potential for employees to be managerial decisions (Strauss,
involved in different ways and for cross-fertil- 1998), and increase opportunities responses to the
izing ideas. This, therefore, generates employee for collectively engaging with man-
2007 Australian
autonomy and power-sharing between man- agement. Empirical evidence indi-
agement and unions (Bryson, 2004; Bryson cating that union and direct voice Workplace
et al., 2007; Cox et al., 2006; Pfeffer, 1994). arrangements coexist in the
The net result is that the employees’ discre- majority of unionized workplaces Representation
tionary effort translates into higher productiv- also supports the notion of the
Survey (AWRPS),
ity (Kauhanen, 2009). Considering all of these complementary of voice (e.g.,
factors together, employee job satisfaction is Bryson, 2004). On the basis of the a representative,
expected to be greater. theoretical propositions and em-
An increasing number of empirical studies pirical research discussed, we pro- national survey
have addressed the question of voice comple- pose the following hypothesis:
mentarity. As Cox et al. (2006) noted, while that investigated
some conflicting evidence exists on the impact Hypothesis 3: A complementary workers’ responses
of employee voice arrangements operating sin- interaction will be observed be-
gly and in combination, on balance, research tween union and direct voice, such and attitudes
has found that combinations of voice arrange- that job satisfaction will be higher
ments appear to have a stronger positive im- where both voice arrangements are to workplace
pact than negative impact. For example, Bryson present.
participation,
(2004) found that the most effective voice ar-
rangements combined direct and non-union Method representation, and
representative participation. Similarly, Charl-
wood and Terry’s (2007) analysis of the 2004 Sample and Procedure influence.
United Kingdom Workplace Employment Re- The data reported in this study
lations Survey (WERS) data revealed that com- were drawn from responses to the 2007 Aus-
plementary voice arrangements were most tralian Workplace Representation Survey
effective for employers and employees in rela- (AWRPS), a representative, national survey
tion to wage dispersion, organizational justice, that investigated workers’ responses and at-
and productivity. In Australia, multiple voice titudes to workplace participation, represen-
arrangements were also found to be most effec- tation, and influence. The survey instrument
tive for employees themselves, as measured by was based on the 1994–1995 Worker Repre-
perceived managerial responsiveness to sentation and Participation Survey conducted
employee needs, job control, and influence in the United States (Freeman & Rogers,
over job rewards (Pyman, Cooper, Teicher, & 1999), the 2001 British Worker Representa-
Holland, 2006). Similarly, in the European car tion and Participation Survey (Diamond &
components industry, Sako (1998) found that Freeman, 2002), the 2003 New Zealand
a combination of direct and consultative par- Worker Representation and Participation Sur-
ticipation was more effective in improving vey (Haynes, Boxall & Macky, 2003), and a
quality and the contribution of employees’ previous 2004 AWRPS (see Teicher, Holland,
ideas; although the extent of union involve- Pyman, & Cooper 2007). Questions from
ment in joint consultative committees was not other country surveys were adapted to con-

Human Resource Management DOI: 10.1002/hrm


102 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

form to the institutional and demographic global job satisfaction. Measures of global job
contexts in Australia and questions from the satisfaction are commonly used in large-scale
original AWRPS (2004) were revised and up- survey research in which an overall assess-
dated. ment of employee attitudes is desired (Saari &
A total of 1,022 employees sampled ran- Judge, 2004; Spector, 1997). In this case, our
domly from residential telephone directories rationale for using a single-item measure of
were surveyed nationally. Respondents were global job satisfaction was to keep the survey
given the option to complete the survey by instrument relatively brief to minimize both
telephone interview (using computer-assisted respondent load and non-response. We also
telephone interviewing [CATI]) or online note, however, that a large body of research
(a web-based survey). Potential respondents has used single-item measures of overall job
were contacted between October and satisfaction. This research has found that
November 2007. The sample was limited to such measures have excellent test-retest reli-
Australian residents engaged in paid employ- ability and show convergent validity with
ment for more than 10 hours3 per week who multi-item measures of job satisfaction (Saari
had left secondary school. Self-employed per- & Judge, 2004; Wanous, Reichers, & Hudy,
sons and company owners were excluded 1997). For example, Wanous et al. (1997)
from the survey. The sample was stratified by demonstrated that single-item measures of
Australian state/territory to reflect the geo- overall job satisfaction converge quite strongly
graphical distribution of the population as with multi-item measures of overall job satis-
reported in the Australian Bureau of Statistics faction (r corrected for reliability ⫽ .67).
(ABS) Census of Population and Housing.
Fifty percent of the respondents were fe-
Employee Voice Arrangements
male and the mean age of the sample was
40.8 years (SD ⫽ 12.19). The mean number of Our measures of voice were adapted from
hours worked per week was 35.65 (SD ⫽ Bryson (2004). Union voice was operational-
12.68), with 62.1% working full-time (de- ized as collective representation and manage-
fined as 35 hours or more per week). The rial recognition, referring to the presence of a
majority of respondents (78.2%) were non- union (of any kind) at the workplace. Forty
manual workers, and 68% were employed in percent of respondents reported their work-
the private sector. Just under a third of re- place had a union voice. Direct voice was pres-
spondents (32.2%) reported that they worked ent where one of the following two-way com-
in organizations with 500 or more employees munication channels existed: (1) regular
and a quarter worked in organizations with meetings between senior management and
less than 20 employees. The mean number of all staff (reported by 54.6% of the sample); (2)
years employees had worked for their current a formal employee involvement program,
employer was 6.09 with a median of 3 (SD = such as quality circles (11.5% of the sample);
7.27). Of the respondents, 18% were union or (3) a semi-autonomous workgroup (14.9%
members, a figure consistent with the official of the sample). Sixty percent of respondents
national estimate of 18.9% (ABS, 2008). reported the presence of direct voice in the
workplace, with 41.5% reporting the pres-
ence of one direct voice channel; 14.5% re-
Measures
porting the presence of two; and 3.5% report-
Job Satisfaction ing the presence of all three direct voice
channels. To examine whether the effect of
Our dependent variable was based on re- direct voice on job satisfaction was additive,
sponses to the statement: “Overall, I am satis- following Bryson (2004), we constructed an
fied with my job.” Responses were rated on a index measuring the number of direct voice
5-point scale ranging from 1 ⫽ strongly dis- arrangements reported as present in the
agree to 5 ⫽ strongly agree, with a neutral workplace. This index has a potential range
midpoint. Our measure is an indicator of from 0 to 3 (M ⫽ 0.81, Mdn ⫽ 1, SD = 0.81).

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 103

Control Variables disentangle whether the presence of direct


voice and union voice has an interactive rela-
Consistent with Bryson’s (2004) recommenda- tionship with job satisfaction, we conducted a
tions, we controlled for a range of individual, moderated regression analysis. Specifically, we
job, and workplace characteristics in the re- ran a regression model with the presence of
gression analyses. Specifically, the analyses union voice, the presence of direct voice, and
controlled for gender, age in years, occupation a product (multiplicative) term,
(manual versus non-manual), hours worked representing the interaction of the
each week, organizational size (as measured by two dummy coded voice arrange- We also included
the estimated number of employees in the or- ments. We also examined whether
job autonomy
ganization), sector (private versus non-private), the relationships between em-
gross weekly wage, organizational tenure ployee voice and job satisfaction as a covariate,
(years), and individual union membership. were contingent on the number of
employees in an organization and because voice
whether the organization was pri-
Job Autonomy is conceptually
vate (for profit) versus non-private
We also included job autonomy as a covariate, (public and not-for-profit/volun- different from job
because voice is conceptually different from tary). We tested these relationships
job autonomy, yet overlaps with voice (see by examining the interaction of autonomy, yet
Wood & Wall, 2007). Job autonomy refers to voice arrangements with organiza-
overlaps with voice.
the amount of freedom an employee has in tional size and sector variables.
carrying out his or her work (Humphrey, Nah- These relationships were tested for
rgang, & Morgeson, 2007). As a motivating two reasons. First, organizational size and sec-
work characteristic, job autonomy has been tor are known to be important determinants
found to be strongly correlated with job satis- of employers’ choices and hence the adoption
faction (Humphrey et al., 2007; Saari & Judge, of voice arrangements (Bryson et al., 2007;
2004; Spector, 1997). Employee perceptions of Willman et al., 2006). Second, empirical re-
job autonomy could act, therefore, as a con- search has shown that these contextual vari-
founding variable in the voice-job satisfaction ables also affect the viability and effectiveness
relationship. In our survey, employees were of different voice arrangements (Brewster
asked to rate their level of influence and in- et al., 2007; Haynes, Boxall, & Macky, 2005).
volvement over selected aspects of their job Finally, prior to the analysis, the data were
on a 4-point scale, ranging from 0 ⫽ none to screened for outliers and multicollinearity
3 ⫽ a lot, across four items: (1) deciding when among the predictors. The results were ade-
and how to do your job and organize your quate.
work; (2) setting working hours; (3) the pace
of work; and, (4) deciding how to work with
Results
new equipment or software. A principal com-
ponents analysis of the four items supported a As Table I illustrates, the majority of employ-
single-factor, with a Cronbach’s alpha coeffi- ees (70%) were satisfied with their job, a find-
cient of .79. The scores on the four items were ing consistent with much of the previous
averaged to form a composite measure (the research on job satisfaction (e.g., Saari &
possible range of scores is 0 to 3), with higher Judge, 2004; Spector, 1997). Approximately
scores indicating greater perceived job auton- 12% of respondents were dissatisfied with
omy. The mean score on our measure of job their job and another 16.8% were neutral.
autonomy was 1.73 (SD = 0.84). Interestingly, our reported levels of job dissat-
isfaction (95% confidence limits: 10.9% to
15.1%) are higher than the 7.6% reported by
Methods of Analysis
Sousa-Poza and Sousa-Poza (2000) in their
Because our dependent variable was ordinal in study of job satisfaction in 21 countries
nature, we used ordered probit regression. To (N ⫽ 15,324).

Human Resource Management DOI: 10.1002/hrm


104 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

TABLE I Distribution of Job Satisfaction


Employees’ Responses Percent
Strongly disagree 4.2
Disagree 8.2
Neither agree nor disagree 16.8
Agree 48.6
Strongly agree 21.4
No answer 0.7
Note: N = 1,022.

TABLE II Results of Ordered Probit Regression Predicting Job Satisfaction


Predictor Model 1 Model 2 Model 3
Male –0.12 (0.11) –0.11 (0.11) –0.12 (0.11)
Age 0.01 (0.00) 0.01 (0.00) 0.01 (0.01)
Hours worked –0.01 (0.01) –0.01 (0.01) –0.01 (0.01)
Non-manual work –0.07 (0.13) –0.04 (0.13) –0.08 (0.13)
Gross weekly wage –0.01 (0.02) –0.01 (0.02) –0.01 (0.02)

Organizational tenure 0.01 (0.01) 0.01 (0.01) –0.01 (0.01)


Private sector 0.07 (0.12) 0.09 (0.12) 0.06 (0.12)
Union member 0.06 (0.15) 0.07 (0.15) 0.07 (0.15)
Organizational size 0.01 (0.01) 0.01 (0.00) 0.01 (0.01)
Job autonomy 0.66* (0.07) 0.64* (0.07) 0.66* (0.07)
Union voice 0.01 (0.13) –0.01 (0.13) –0.22 (0.18)
Direct voice 0.52* (0.10) 0.37* (0.06)
Index of direct voice 0.29* (0.06)
Union * direct 0.37 (0.20)
Nagelkerke Pseudo-R2 0.25 0.24 0.25
Note: *p < .05. Probit regression coefficients reported. Standard errors in parentheses.

The results of the ordered probit regres- variables, job autonomy was the stron-
sion analyses predicting job satisfaction are gest predictor of job satisfaction. This is con-
shown in Table II. Following Bryson (2004), sistent with research that has identified a lack
we included managerial and professional of reliable socio-demographic predictors of
employees in the analyses because they are job satisfaction and confirms that job auton-
likely to be managed by other senior people omy is a strong correlate of employee atti-
in an organization. The effect on results is tudes (Spector, 1997).
negligible if managerial and professional Hypothesis 1 predicted that direct voice
employees are excluded from the analysis. would be positively associated with job
Although not central to the present study, it satisfaction. As shown in Table II, Model 1,
is of interest to note that of the control the probability of an employee being satisfied

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 105

with his or her job increased when direct 3), but just failed to reach statistical signifi-
voice was present in the workplace (B = 0.52, cance at the 95% level of confidence (B =
p < 0.05). Hypothesis 1, therefore, was sup- 0.37, p = .064). Given the well known diffi-
ported. There were no statistically significant culties in detecting interaction effects, even
interactions of organizational size or sector in relatively large samples (Agui-
(private versus non-private organizations) nis, 1995), we interpret this evi-
with direct voice and job satisfaction. dence as providing partial support In addition, additive
As shown in Table II, Model 2, the additive for Hypothesis 3. combinations
direct voice index was statistically significant
and positive (B = 0.29, p < 0.05), indicating that of direct voice
Discussion
as the number of reported direct voice arrange-
ments in the workplace increases, job satisfac- This study intended to answer arrangements were
tion increases. This additive effect of direct two questions: (1) to what extent
positively associated
voice provides further support for Hypothesis 1 employee voice arrangements af-
and suggests employers and employees can fect job satisfaction and (2) with job satisfaction,
gain benefits from investing in multiple chan- whether employees with comple-
nels of direct voice arrangements. mentary voice arrangements re- implying that having
Having established that direct voice was port higher job satisfaction. Con-
more direct voice
positively associated with job satisfaction, we sistent with our expectations, the
examined which of the three direct voice relationship between direct voice arrangements has a
arrangements was most influential. With all and job satisfaction was positive
controls included in the model, regular meet- (even after controlling for job au- greater influence on
ings between management and staff (B = 0.35, tonomy). This finding supports
job satisfaction.
p < .05) and semi-autonomous workgroups (B the notion that such arrange-
= 0.47, p < 0.05) were associated with higher ments can induce management
job satisfaction. There was no statistically sig- and employees to interact and cooperate. By
nificant relationship between the presence of breaking down barriers, employees and man-
a formal employee involvement program and agement may be more willing to share knowl-
job satisfaction (B = 0.10, p > 0.05). edge and engage more effectively in joint
Hypothesis 2 predicted that union voice problem solving, thereby improving organi-
will be negatively associated with job satisfac- zational effectiveness and efficiency (Tailby
tion. As shown in Table II, Model 1, the et al., 2007). In addition, and consistent with
regression coefficient for union voice was not the literature (Bryson, 2004; Storey, 1992),
statistically significant (B = 0.01, p > 0.05). direct voice may result in managers respond-
We also tested whether union voice was re- ing better to the heterogeneous needs of the
lated to job satisfaction without direct voice workforce, thus generating higher levels of
included in the model. Again, the coefficient employee engagement and job satisfaction.
for union voice was not significantly different Further analyses of the data showed that
from zero (B = 0.07, p > 0.05). Hence, regular meetings between management and
Hypothesis 2 was not supported. We found staff and the existence of semi-autonomous
no statistically significant interactions of workgroups were positively associated with
organizational size or sector with union voice job satisfaction. In addition, additive combi-
and job satisfaction. nations of direct voice arrangements were
Hypothesis 3 states that complementar- positively associated with job satisfaction,
ity will be observed between union and implying that having more direct voice
direct voice, such that job satisfaction will be arrangements has a greater influence on job
higher in workplaces with complementary satisfaction (cf. Bryson, 2004).
voice arrangements. This hypothesis implies Contrary to our expectations, we found
that the sign of the interaction term will be no evidence that union voice was negatively
positive. The interaction of direct voice and associated with job satisfaction, despite con-
union voice was positive (see Table II, Model trolling for personal, job, and workplace

Human Resource Management DOI: 10.1002/hrm


106 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

characteristics, including job autonomy. Verma, 2005). This study’s results also rein-
This finding is not entirely surprising given force the importance of further analysing the
the plethora of empirical studies that have relationship between employee voice ar-
reported inconclusive findings regarding the rangements and job satisfaction given that
impact of union voice on job satisfaction. this relationship has been largely neglected
One explanation for our finding lies in mea- in the literature. Our results reveal that this
surement problems. Our measure of union relationship is important because only some
voice captures the presence of a types of voice arrangements appear to influ-
union only. We did not measure ence job satisfaction.
This highlights the
union voice using other proxies
important role of such as the presence of union del-
Implications for Practitioners
egates at the workplace, union
the human resource membership and density rates, or Our findings have several implications for HR
union efficacy. These additional practitioners given that employee voice and
manager, who is
proxies of union voice, particu- job satisfaction in the workplace are both fun-
potentially the focal larly the degree to which unions’ damental to the employment relationship.
are perceived to be effective, may Our results indicate that direct employee voice
point for establishing directly influence job satisfaction. was positively related to job satisfaction. This
We found some evidence that highlights the important role of the human
and implementing
complementary voice arrange- resource manager, who is potentially the focal
direct voice in the ments had a positive relationship point for establishing and implementing direct
with job satisfaction. This pro- voice in the workplace and disseminating this
workplace and vides some support for previous among not only the managerial ranks, but em-
research that has identified the ployees at lower levels.
disseminating this benefits of dual-channel voice, Although employee voice arrangements
among not only the such as participating in and con- can be costly and time consuming to develop
tributing to organizational deci- and implement, our results show that direct
managerial ranks, sion making (e.g., Bryson, 2004; voice has tangible intrinsic benefits and is
Charlwood & Terry, 2007; Pyman therefore worthy of investment. Intrinsic ben-
but employees at et al., 2006; Sako, 1998). Our evi- efits include enhanced employee job satisfac-
dence for complementarity sup- tion through increased involvement and par-
lower levels.
ports the thesis in the HRM litera- ticipation in the workplace. These intrinsic
ture—in particular the notion of benefits will then be manifest in extrinsic
mutual gains—that unions can coexist along- benefits, including enhanced task and organi-
side direct voice arrangements. Further re- zational performance and lower turnover.
search is needed, however, to understand the These issues are fundamental to practicing
dynamics of reinforcement where comple- human resource managers.
mentary voice arrangements co-exist; that is,
how unions and management engage and
Limitations
establish bundles of voice arrangements that
have desirable outcomes for both parties. Despite this study’s theoretical and practi-
Such an investigation should be undertaken cal contributions, we acknowledge that our
at the organizational level using matched research design has some limitations and
employer-employee data to determine raises questions for future research. First,
whether the presence of unions makes a dif- the cross-sectional nature of our data does
ference to job satisfaction or whether the not allow us to make causal inferences. The
presence of direct voice in the workplace use of panel data would strengthen causal
drives job satisfaction. This issue is an impor- inferences. Second, as Cox et al. (2006) ar-
tant one, particularly in view of the ongoing gued, there is a need to investigate the
debates about the impact of unions on man- subtleties of employee voice in practice; in
agerial practices and HRM policies (see particular to examine how embedded (the

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 107

depth and breadth) employee voice ar- Third, we acknowledge that our data are
rangements are at the workplace level. This self-report. These data are useful in identify-
is particularly pertinent in light of this pa- ing employees’ attitudes and per-
per’s analyses, which measure the presence ceptions, but can be subject to
of voice arrangements only. Indeed, pres- error such as incomplete knowl- The findings support
ence does not guarantee the quality, legiti- edge of organizational practices.
the proposition
macy, effectiveness, or application of voice. Related to this is the potential
For example, we cannot determine from for common method variance, a that direct voice is
our direct voice measure the frequency, frequently identified problem
quality, or impact of regular staff meetings, with self-report data (Podsakoff, positively associated
a formal employee involvement program, MacKenzie, Lee, & Podsakoff,
with job satisfaction.
and semi-autonomous workgroups on indi- 2003). Spector (2006) argued,
vidual-level and organizational-level out- however, that it is incorrect to
comes. The depth and breadth of direct assume that using a single method auto-
voice practices and managers’ underlying matically introduces systematic bias; rather,
motives in introducing such arrangements the potential for bias must be assessed given
are important issues, particularly in light of the nature of the data at hand. Conse-
empirical evidence that suggests direct quently, we believe that our measures of
voice arrangements are often co-opted by voice arrangements reflect objectively mea-
management (Freeman, Boxall, & Haynes, sured characteristics of involvement, par-
2007). Thus, future research should further ticipation, and representation in the work-
investigate the depth and breadth of direct place (e.g., the presence of a union, regular
voice arrangements in the workplace, par- meetings with staff, formal employee in-
ticularly the extent to which they provide volvement program). Thus, they are less
for effective communication, grievance likely to be influenced by potential response
systems, and organizational justice, rather biases such as social desirability, which are
than serving as a channel to legitimate more commonly associated with subjective
managerial actions and decisions. In addi- measures of voice. Nevertheless, we cannot
tion, we acknowledge that we did not ex- rule out such biases and the possibility ex-
amine non-union representative voice ar- ists that satisfied workers are more likely to
rangements in this study. Given our perceive the presence of voice arrangements
findings that direct and multiple voice ar- in the workplace or have greater awareness
rangements are associated with job satis- of what happens in the workplace.
faction, it is reasonable to assume that
non-union representative voice arrange-
Conclusion
ments might also be associated with job
satisfaction, either in isolation or when This paper has examined the relationship be-
combined with union and direct voice ar- tween employee voice arrangements and job
rangements. satisfaction using data from the AWRPS (2007).
A plausible explanation for the overall The hypotheses tested draw on the HRM and
pattern of our results is that the impact of industrial relations literatures. The findings
employee voice arrangements on job satis- support the proposition that direct voice is
faction varies, depending on the degree to positively associated with job satisfaction. In
which employee voice arrangements are addition, this study found some support for,
embedded at the workplace level. In this and a need for further investigation of, the link
light, further case study research is needed between complementary voice arrangements
to understand under what conditions em- and job satisfaction. It is unclear in previous
bedding employee voice arrangements en- research, whether the benefits of complemen-
hances employees’ job satisfaction in addi- tary voice arrangements are due to union pres-
tion to other individual-level and ence or progressive HRM practices encouraging
organizational-level outcomes. direct voice (Guest & Conway, 1999). Our

Human Resource Management DOI: 10.1002/hrm


108 HUMAN RESOURCE MANAGEMENT, JANUARY–FEBRUARY 2011

findings contribute significantly to this debate Notes


by demonstrating that although the presence 1. The following studies all identify the trend of an
of both union and direct voice arrangements increased use of multiple voice arrangements:
in the workplace may be positively associated Brewster et al. (2007); Bryson, (2004); Bryson,
with job satisfaction, direct voice appears to be Gomez & Willman, (2004); Charlwood & Terry,
the central mechanism underpinning employ- (2007); Cox et al. (2006); Dundon, Wilkinson,
ees’ job satisfaction. The role union voice ar- Marchington, & Ackers, (2004); Gollan & Wilkinson
rangements play in this relationship remains (2007); Holland et al. (2009); McCabe & Lewin
unclear. Confirming a relationship between (1992); Wilkinson et al. (2004); Willman et al.
employee voice arrangements and job satisfac- (2006); Wood & Fenton-O’Creevy (2005).
tion, as a subset of wider organizational perfor-
2. A range of terminology has been used within the
mance, makes an important contribution to
literature, including mutual gains, high perfor-
the literature and raises implications for HRM
mance work systems, high involvement manage-
theory and practice. HR managers must be
ment, and high commitment management.
cognizant of the relationship between em-
ployee voice arrangements and job satisfac- 3. The rationale for using a minimum of 10 hours a
tion, not only in seeking to build organizations week in paid employment as the baseline was to
that have committed, loyal, and high-perform- ensure that the employees’ sampled worked
ing employees, but in developing and imple- more than one day per week (>8 hours). This, we
menting arrangements that allow employees believed, was the minimum requirement to en-
to meaningfully and formally exercise an influ- sure that the employee had sufficient experi-
ence over, and participate in, a wide range of ences within the workplace to be able to assess
task-related and organizational issues. work patterns and processes.

PETER HOLLAND, MA (Kent) PhD (Tas) is an associate professor in Human Resource


Management and Employee Relations in the Department of Management at Monash
University, Australia. Peter has worked in the finance industry and consulted with private
and public sector organizations in a variety of areas. His current research interests include
talent management, employee voice and monitoring, and surveillance in the workplace.
He has co-authored seven books and numerous journal articles, monographs, and book
chapters on a variety of human resource management and employee relations issues.

AMANDA PYMAN is a senior lecturer in HRM and Employment Relations in the Depart-
ment of Management at Monash University. Dr. Pyman is also the deputy director of the
Monash MBA program. Dr. Pyman lectures in human resource management and em-
ployment relations and has published widely in national and international journals. Her
main research interests include employee voice, labor market regulation, trade union
effectiveness, and privacy at work.

BRIAN K. COOPER is a senior lecturer in the Department of Management at Monash Uni-


versity, Australia. Dr. Cooper lectures in research methods and has extensive experience
in qualitative and quantitative research methodologies. His research interests include
employee well-being and multivariate modelling.

JULIAN TEICHER is a professor in the Department of Management at Monash University,


Australia. His research spans the fields of human resource management and public man-
agement, though his particular interest lies in employee participation and the democra-
tization of work.

Human Resource Management DOI: 10.1002/hrm


EMPLOYEE VOICE AND JOB SATISFACTION IN AUSTRALIA 109

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