Assessing the Impact of Green Hiring on Sustainable Performance: Mediating Role of Green Performance Management and Compensation

Abstract

The global need to preserve ecology has propelled the green movement across the globe. An emerging managerial challenge for all organizations is to protect natural resources by reducing their negative impact on the environment and increase sustainable performance. Greening is the need of the age to conserve natural resources. This study investigates the impact of green human resource management practice—i.e., green hiring—on the sustainable performance of public and private healthcare organizations. A quantitative research approach was used for data collection. Scale survey of 160 responses was gathered from public and private healthcare organizations. Partial least square–structural equation modeling was used for data analysis. The study results suggest that green recruitment has a positive and significant impact on environmental performance, economic performance, and social performance. Path coefficients test also revealed that green performance management and compensation significantly mediate the relationship between green hiring and sustainable performance of public and private healthcare organizations. This study is helpful for organizations in adapting GHRM practices that will benefit the organizations in all ways. This study also provides a better understanding to policymakers on how to promote GHRM practices and increase sustainability in organizations.

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“…In terms of green performance management (GPM), the study confirms that there is a significant influence of GPM on the job attraction of the millennial workforce. This finding is in line with previous studies (e.g., Martins, et al, 2021;Sharanya & Radhika, 2017;Ramasamy, Inore, & Sauna, 2017;Mashala, 2018), which also stated that green performance has a positive influence on environmental sustainability which is the effective way to attract new talent. This finding proves that GPM strategies that are concerned with green action and green employee behavior will encourage companies with sustainable development goals to recruit, select, train, and engage the workforce and job seekers who accept and embrace their values of protecting the environment.…”

“…The commitment of the manager in this performance management is significant when his dedication and responsiveness are in line with the activity of environmental management (Mashala, 2018). Evaluating a manager's green results will show how his role has emphasized environmental management and sustainability at work (Adriana, Fahira, Nailassa'adah, & Maula, 2020), and the presence of good green performance management will translate to attracting more workforce (Martins, et al, 2021). H3: Green performance management strategies have a direct and positive influence on job attraction of the millennial workforce…”

The Role of Green Human Resource Management Practices towards Attaining Sustainable Development Goals through Corporate Sector

“…In an organizational or business context, various as environmental-sustainability practices e.g., energy-efficiency, water-conservation, waste-management, green technologies, recycle/reuse, ecofriendly packaging, etc., have been studied by authors (Jang, 2020;Sendawula et al, 2020;Yacob et al, 2018). Multiple studies have established that GHRMPs have facilitated the accomplishment of environmental-performance or environmental-sustainability across the diverse wings of the corporate sector around the globe including: the Pakistani textile sector (Amjad et al, 2021), Palestinian healthcare organizations (Mousa & Othman, 2020), Malaysian research universities (Anwar et al, 2020), Pakistani manufacturing firms (Malik et al, 2020;Mansoor et al, 2021), Pakistani healthcare organizations (Martins et al, 2021), Chinese manufacturing firms (Naz et al, 2021;Roscoe et al, 2018), Brazilian chemical-sector companies (Silva et al, 2019), Qatari oil and gas industry (Obeidat et al, 2018), Malaysian IT companies (Ojo et al, 2020), Malaysian hotels industry (Nisar et al, 2021: Shafaei et al, 2020Yusoff et al, 2018), Egyptian tourist agencies (Elshaer et al, 2021), Malaysian manufacturing firms (Khan et al, 2021;Yong et al, 2019), and Manila hospitality-industry (Haldorai et al, 2022), and thus played a pivotal role in enabling the corporate sector to contribute its share in attaining SDGs 12 and 13. SDG 12 "sustainable production and consumption" intends to detach environmental deprivation with economic evolution, which is possible through a transition towards more sustainable outlines, such switch involves national public policies that produce favorable infrastructures and markets, and a modification of business operations along with the value-chains worldwide (United Nations, 2018), relatedly, SDG 13 intends to "take urgent action to combat climate change and its impact" e.g., reducing carbon dioxide (CO₂) and greenhouse gases emissions, building education and capacity for SGD adoption, adopting mitigation actions, etc.…”

“…From a business perspective, socialsustainability is about being empathetic to the impressions of corporations on the people and societies. In recent studies (Acquah et al, 2021;Malik et al, 2020;Martins et al, 2021;Yong et al, 2019) it have been empirically verified that GHRMPs provided a pathway towards attaining social-sustainability in Pakistani manufacturing SMEs and healthcare organizations, Malaysian large manufacturing firms, and Ghanaian hospitality and manufacturing firms, GHRMPs facilitated towards social-sustainability performance by: (1) improving stakeholder' welfare, (2) upgrading health and safety in the community,(3) reducing ecological impacts and threats to the general public, (5) enhancing of employees' occupational health and safety, (5) improving protection and awareness of the rights and claims of the communal people being served, and ( 6) dropping the adverse impression processes and products on the local community.…”

“…Economic-sustainability entails an efficient and responsible utilization of resources by a business or state so that it can function in a sustainable manner to yield an operational profit. Several studies (Acquah et al, 2021;Malik et al, 2020;Martins et al, 2021;Yong et al, 2019;Zaid et al, 2018) have empirically confirmed that GHRMPs contributed towards the attainment of economic-sustainability in Pakistani manufacturing SMEs (i.e., furniture, agriculture, fruit processing, plastic, leather, textile, construction, dairy, food, and beverages), Malaysian large manufacturing firms, Pakistani healthcare organizations, Ghanaian hospitality and manufacturing firms, and Palestinian manufacturing sectors (i.e., pharmaceutical, food and chemical sectors), GHRMPs facilitated the economic pillar of sustainability performance, for instance, by decreasing material purchasing and energy consumption costs, and falling waste treatment and discharge fees; as economicsustainability comprises monetary costs and benefits (Popovicab et al, 2013). Congruently, SDG 8 intends to "promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all".…”