This paper assesses the apparent effects on job attitudes and organizational performance of recent conversions to employee ownership at three firms.
The article discusses patterns of and desires for employee participation in management and decision making after an organization has converted to employee ownership. The author notes a number of reasons why an increased level of employee participation in decision making is significant.
Noting a paucity of research on the subject, this article attempts to explore the effects of employee ownership, concentrating on possible relationships between ownership and such variables as organizational identification, employee job attitudes, and organizational performance, and on identifying variables which may moderate these relationships.
Studies on the effects of employee share ownership or employee participation in decisions (or control) have tended to focus on one or the other of the two variables or have assumed that they covary. Using data from an employee-owned company, this study attempts to empirically separate and assess the relative effects of each of these on a set of dependent variables (job attitudes) which they are both thought to affect.