Organizational Justice

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Organizational Justice

In today’s developing work life, organizational justice is increasingly important to the welfare of the organization, managers, and employees. Organizational justice shows how employees view the fairness of work-related issues in the workplace and the trust they have in the organization and its management. According to Burge, the study of organizational justice is important for three reasons: 1. Justice is a social aspect that strongly affects every-day life, whether it is social or organizational. 2. The most important asset of any organization is its members, and the manner in which they are treated influences behaviors such as commitment, trust, performance, and turnover. 3. Since the global workforce is becoming more educated and skilled, workers are demanding not only better jobs with better pay, but also more respect and dignity in their work environment. (as cited in Marjani & Ardahaey, 2012, p. 125) Some theorists such as Schmink, Cropanzano, and Rupp (as cited in Marjani & Ardahaey, 2012) have stated that organizational justice is influenced by the structure of the organization and that organizational structure, justice, and ethics are potentially related. The way organizational members view the justice and the fairness they receive from the organization will affect the way they work and interact with others in their group or team. These factors, in turn greatly affect the organization’s effectiveness and efficiency. Studies have linked organizational justice to the actual health of the organization’s members. A study in the “American Journal of Public Health” showed that a state of distress is instilled in members who have put in a great amount of effort but received low salary and job security. The procedures that determine how these rewards will be distributed also affect members. These issues are shown to influence the overall health of the organization’s members (Elovainio, Kivimaki, & Vahtera, 2002). Organizational justice is commonly known to have two facets: procedural justice and distributive justice. However, it can actually be broken down into four facets: distributive justice, procedural justice, interactive justice, and informational justice (Ul Haq Sha, Wagas, & Salem, 2012, p. 672). Distributive Justice

Distributive justice is based on John Stacey Adams’ equity theory. An article written by Marjani and Ardahaey (2012) stated: Adams (1965) conceptualized fairness by stating that employees determine whether they have been treated fairly at work by comparing their own payoff ratio of outcomes (such as pay or status) to inputs (such as effort or time) to the ratio of their co-workers. (p. 124) Distributive justice adds to this by saying that it is the employees’ perceptions on managerial decisions and how fair they are in the distribution of outcomes, such as pay, promotions, job titles, and job location. People compare the ratios of their own received rewards and their perceived outcomes to those of their co-workers; if these ratios are unequal, the people with the higher ratios are thought of as unfairly overpaid. As a result, they may feel guilty. To the contrary, people with a lower ratio are thought of as unfairly underpaid, and they may feel angry. When ratios are equal, all workers will think they are treated fairly and feel satisfied (Greenburg, 1990). This shows that distributive justice can be a good predictor of personal outcome. A study done by Ul Haq Sha et al. (2012) showed that distributive justice plays a significant role in determining employee job satisfaction. Since Adams’ equity theory, there have been many other studies by researchers such as Andrews (1967), Garland (1973), Mowday (1987), and Greenberg (1990). Each study has shown that when an employee feels underpaid, his or her job performance will decrease when an employee feels equally paid or over-paid, his or her job performance will increase. Procedural Justice

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