Employee-share-ownership : Human Resources Management and employees behavioural outcomes

Sammanfattning: Employee share ownership (ESO) is widely defended as a competitive organisational structure to increase organisational productivity through higher labour performance. Research on the relationship between ESO and labour performance produced mixed results when looking at the commitment and labour turnover. With more than 50% of all companies in Europe providing ownership to their employee, this research studies how ESO influence the labour performance building from previous research on Human Resource Management and employees’ behavioural outcomes. This study uses a quantitative design to analyse French workers' labour performance and compare the results between employees' owners and non-owners. Extrinsic and instrumental satisfaction resulting from HRM policies were considered to influence employees’behavioural outcomes. Finally, these satisfaction indicators were tested for moderation between ESO and the behavioural outcomes.This research finds a significant relationship between ESO and commitment. Moreover, extrinsic, and instrumental satisfaction predicted commitment. Only extrinsic satisfaction resulted in a decrease in employee's intention to turnover. Results show that instrumental satisfaction moderates the relationship between ESO and commitment, such as employees in an organisation with ESOwill exhibit more significant commitment as their employers increase their ability to be autonomous and participate in decision-making. However, the results defend that extrinsic satisfaction is a more significant predictor for turnover and instrumental satisfaction for commitment than ESO. These results suggest that ESO cannot systematically explain increased commitment and lower intention to turnover, as the behavioural outcomes change depending on how the organisation supports their employee’s satisfaction and that the employees' values and beliefs are different in ESO compared to employees in traditional organisations.