For better or for worse? Handling the side effects of organizational change on workplace discrimination

Abstract

PurposeOrganizational change (OC) triggers uncertainty and ambiguity, which have side effects for individual and groups. Even though scholars and practitioners have generally conceived OC as a remedy for workplace discrimination (WD), it may determine opportunistic behaviors, which increase the risks of discrimination at work. The article discusses the direct and indirect effects of OC on WD, investigating the moderating role of organizational meaningfulness (OM) and employees' involvement (EI).Design/methodology/approachSecondary data were collected from the Eurofound's European Working Conditions Survey (EWCS). The sample included 33,024 European employees. A double moderation analysis based on the bootstrapping method was designed to collect evidence on the direct effects of OC on WD and on the indirect effects moderated by OM and EI.FindingsOC was found to generate greater discrimination at work. People who were not informed about change and those who were not allowed to express their opinion about change were more likely to report discrimination. OM and EI performed as significant moderators of the side effects of OC on WD.Practical implicationsRestructurings and reorganizations are tricky processes. The uncertainty and ambiguity produced by OC might negatively affect interpersonal relationships at work and organizational practices, paving the way for overt and/or explicit discrimination. The construction of clear and shared senses around change is crucial to curb the drawbacks of organizational transitions on workplace discrimination. EI is essential to improve organizational sensemaking of change processes and to establish a positive organizational climate, which prevent the occurrence of WD.Originality/valueLiterature has overlooked the negative implications of OC on WD. The study findings emphasize that organizational transitions may trigger discrimination, creating greater uncertainty and ambiguity in the workplace. OM and EI allow overcoming ambiguity and increase the employees' ability to deal with uncertainty, addressing the side effects of OC on WD.

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“…The Eurofound is a European Union body established by the European Council to offer better information and expert counsel on workers’ living conditions, changes in industrial relations and management among European countries, and contribute to the design and improvement of working and living conditions of workers in Europe 52 . Researchers have highly recognized the quality of the EWCS data set 53,54 …”

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