Do Employment Experience and Attractiveness Rankings Matter in Employee Recommendation? A Firm-level Analysis of Employers

2021 ◽  
pp. 0258042X2198994
Author(s):  
Gordhan K. Saini ◽  
I. M. Jawahar

In this article, we draw on psychological contract theory to examine the influence of employees’ experiences on their ‘employer of choice’ recommendation and on signalling theory to examine the influence of employer rankings on ‘employer of choice’ recommendation. Using firm-level data representing 387 firms, we used Tobit regression model to assess the effect of employment experience and employer attractiveness rankings on employees’ recommendation of a company as an ‘employer of choice’. We found that employment experience of current and former employees positively influenced employees’ endorsement of their employer. Culture and values, and career opportunities are the most significant variables in generating positive employee recommendation. In addition, appearing in most attractive employer rankings also influenced their recommendation. However, employer rankings lower than the median rank had no effect on whether or not employees recommended their organizations. Being ranked lower than the median did not influence employees’ decisions to endorse their organization because it does not have the same potency for employees as when a firm is ranked higher than the median. Results provide us with a nuanced understanding of the effects of employer attractiveness rankings. Our study has important conceptual and methodological strengths (including the firm-level measure of employment experience and word of mouth) over previous studies in the area of employer branding. JEL Classification: M370, M510, M540, C340, M190

2019 ◽  
Vol 24 (7) ◽  
pp. 636-657 ◽  
Author(s):  
Gordhan K. Saini ◽  
I.M. Jawahar

Purpose Drawing on the psychological contract theory and signaling theory, the purpose of this paper is twofold: first, to examine the effect of employer rankings and employment experience on employee recommendation of an employer as an employer of choice and second, to examine whether these effects vary by employee characteristics (i.e. full-time vs part-time, current vs former and newcomers vs established employees). Design/methodology/approach The authors used multilevel logistic regression on a sample of 39,010 Glassdoor employee reviews, drawn from the companies for which three-year employer rankings (from 2015 to 2017) were available, to achieve our research objectives. Findings The results show that employment experience influenced employees’ recommendation of an employer as an employer of choice. The average standardized rankings for three years (i.e. 2015–2017) was also associated with employees’ recommendation of an employer as an employer of choice. Employee characteristics such as employment type (i.e. full-time vs part-time), employment status (i.e. current vs former) and tenure significantly interacted with employment experience in affecting recommendations of a company as an employer of choice. Originality/value In contrast to the bulk of the research on employer branding that relied on job seekers, the authors studied factors that influence employees’ recommendation of an employer as an employer of choice, arguably the most important indicator of employer internal brand strength. The results offer fresh theoretical and practical insights in an area where research lags far behind practice.


2021 ◽  
pp. 048661342110121
Author(s):  
Kasturi Sadhu ◽  
Saumya Chakrabarti

A dominant strand of orthodoxy argues that the problem of the informal sector could be mitigated through the capitalistic growth process. But our observations on India are different—with an expansion of the capitalistic formal sector, as the economy grows, there is a proliferation of fissured informality. Using a structuralist macro-model, we provide certain explanations for this phenomenon, which are also tested empirically using Indian subnational-state and firm-level data. Thus, we explore both the short- and long-run effects of the expansion of the formal sector on the heterogeneous informal economy. While a section of the population is pulled into the advanced informal activities, a vast segment is pushed to petty production. Accordingly, the orthodox transition narrative is questioned and alternative policy and political possibilities are introduced. JEL Classification: O11, O13, O17, P48


2009 ◽  
Vol 48 (3) ◽  
pp. 227-240 ◽  
Author(s):  
Mr. Musleh ud Din ◽  
Ejaz Ghani ◽  
Tariq Mahmood

This paper explores the determinants of export performance at the level of firms in respect of their characteristics and supply side constraints. The analysis is based on a survey of export-oriented firms in four major sectors. The results indicate a relationship between the better performance of foreign-owned firms to their better know-how and resources compared to the domestically owned firms. Export performance is positively affected by the level of investment in market/client oriented technologies. Lack of certification of product and process standards is the main supply side constraint adversely affecting the firms’ export performance. Facilitation measures like export processing zones, internationally recognised testing labs, and industrial clusters would be helpful in improving the export performance of firms. JEL classification: F1, L1, L6 Keywords: Trade, Exports, Firms, Performance, Manufacturing


2017 ◽  
Vol 20 (1) ◽  
pp. 194-213 ◽  
Author(s):  
Ruchika ◽  
Asha Prasad

In the ever-changing business environment and fluctuating expectations of current generation from its employer, employer branding has become an important tool for organizations to establish themselves as the employer of choice amongst prospective employees. It is serving as the strategic tool for all the sectors to attract and retain the right pool of employees to gain strategic advantage and edge over competitors. The purpose of this article is to identify the dimensions of employer branding and its impact on the formation of anticipatory psychological contract (APC) and final intent of a candidate to join an organization. Using the qualitative data collected through semi-structured interviews from final year students of MCA and B.Tech., it provides an insight into how various dimensions of employer branding lead to the formation of APC and generates the final intent among the candidates to join an organization. It comprehensively analyzes the relationship between all three constructs, employer branding, APC and a candidate’s intent to join an organization in the form of a conceptual framework. The result reflects the direct relationship between employer branding and a candidate’s intent to join an organization and indirect relationship with APC as a mediator between the two. It also demonstrates the direct relationship between employer branding and APC. Managerial implications of the study are also discussed.


2020 ◽  
pp. 096977642097061
Author(s):  
Andrzej Cieślik ◽  
Michael Ryan

This paper investigates how the Brexit announcement affects Japanese direct investment into Europe at the regional NUTS-2 level. Political and economic uncertainty is an important factor affecting the economic performance of a country and its regions. In this study, Japanese annual firm-level data between the years 2000 and 2018 for 31 European countries is used. Negative binomial estimations indicate a significant negative relationship between uncertainty associated with the Brexit announcement and Japanese foreign direct investment (FDI) in the UK regions. Strong FDI path dependence currently acts to dampen this effect. However, depending upon future European Union Single Market access rules, such path dependence could act to magnify Brexit’s effect on inward-UK FDI. JEL Classification Codes: F23, R12.


2020 ◽  
Vol 14 (2) ◽  
pp. 212-225 ◽  
Author(s):  
Jibin Jose ◽  
Snehal S. Herwadkar ◽  
Prabal Bilantu ◽  
Shihas Abdul Razak

The Insolvency and Bankruptcy Code (IBC) in India ushered in a new era of creditor-in-control regime with an in-built mechanism for time-bound resolution. This article examines the impact of the Code on firm borrowings and cost of funds. Using firm-level data on 4,531 firms for the period 2012–2018, we find that implementation of IBC has had many desirable consequences from a policy perspective. It helped in deleveraging of firms as their reliance on borrowings—whether long-term or short-term—declined. Further analysis suggests that this is especially true for weak and large firms. The stronger creditor protection is, thus, a step in the direction of reducing the burden on banks and further market deepening. JEL Classification: G32, G33, G38, D22, O16


2020 ◽  
pp. 29-37
Author(s):  
Yuyang Wang

This paper discusses an important economic problem which is why and how firms grow and argues that firm size is one of the leading contributors to firm growth discrepancy. We demonstrate the importance of firm size through the analysis of 40 years of Compustat individual firm level data. Our results indicate that despite many business advantages large firms have, smaller firms in the same industry still find their edges in growing their business. JEL classification numbers: B410, C020, C180, C510, C520, C550, L110, L250. Keywords: Firm strategy, Firm growth, Firm size, Firm size distribution, Gibrat's law.


2020 ◽  
Author(s):  
Duarte Pimentel

This study compares the perceptions of employer branding and psychological contract levels of employees of family and non-family firms. Specifically, to better understand the dynamics of family businesses, we assess the extent to which employer branding perceptions have an impact on the employees' psychological contract levels. The empirical evidence is provided by a sample of 165 Portuguese employees (76 from family businesses and 89 from non-family businesses), working in small and medium-sized privately-owned companies. The results confirmed the research hypotheses, suggesting that employees of family companies have higher perceptions of employer branding and psychological contract levels than those of employees of non-family companies, also revealing that employer branding has a positive impact on the psychological contract levels of family firm’s employees.


Author(s):  
Igor Semenenko ◽  
Junwook Yoo ◽  
Parporn Akathaporn

Growing tax competition among national governments in the presence of capital mobility distorts equilibrium in the international corporate tax market. This paper is related to the literature that examines impact of international tax policies on corporate accounting statements. Employing international firm-level data, this study revisits the race-to-the-bottom hypothesis and documents that tax exemptions lowering effective tax rates relative to statutory rates increase pre-tax returns. This finding directly contradicts the implicit tax hypothesis documented by Wilkie (1992), who provided empirical evidence on inverse relationship between pre-tax return and tax subsidy. We also find evidences that relative importance of permanent versus timing component depends on the geography and that decline in corporate tax rates reduces impact of tax subsidies on profitability. Our findings suggest that tax subsidies play a different role than in 1968-1985, which was examined by Wilkie (1992). These results are consistent with the race-to-the-bottom hypothesis and income shifting explanation


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