Extending double standards and stereotyping approaches to hiring older workers

This thesis examined factors underlying discrimination against older job applicants. Drawing upon stereotyping and double standards-based approaches to discrimination the thesis found that positive and negative aspects of the older worker stereotype can have cumulative effects on hiring decisions and may interact with job requirements to affect discrimination.

Different personality measures for different business outcomes : a comparison of selection criteria used for a management training program

Reports a study in which the MBTI, FIRO-B and PP measures were correlated with employee performance indicators of high potential candidates for management development. The participants were 37 middle level managers in a large trans-national company. Results indicate a disturbing disconnect between measures used in training and development and actual business outcomes that can be presumed to express organisational priorities and goals.

Does the change of accounting regulation on employee share options give rise to greater scope for earnings management?

Purpose – The purpose of this paper is to address the concern about the impact of accounting regulatory change pertaining to employee share options (ESOs) on earnings management. Following Australia’s adoption of International Financial Reporting Standards (IFRS) in 2005, companies are required to recognise the fair value of ESOs as expenses. Due to inherent imprecision in the estimate of ESO’s fair value, the regulatory change from disclosure to recognition was widely claimed to potentially give rise to an alternative mechanism to manage earnings. This study provides empirical evidence on whether the regulatory change leads to earnings management problems.

Design/methodology/approach – This study uses the regulatory change in accounting for ESOs to provide a direct test of earnings management between disclosed versus recognised regimes for the same sample of firms. The sample consists of Australian firms from S&P/ASX300 for the period from 2003 to 2006.

Findings – The results show that, although the accounting regulatory change from disclosure to recognition may provide an alternative earnings management vehicle, there is no evidence of this occurring. There could be several reasons for this finding. First, the statistical tests lack power. Second, there are stricter audit tests on recognised amounts than on disclosed amounts. Third, given the concern of excessive pay and the close scrutiny of compensation, managers may have already understated ESO values in the disclosure regime. Finally, managers have limited time and resources and the effort involved in the adoption of IFRS in 2005 could have restricted the time available to manage earnings via the ESO reporting channel.

Originality/value – This study adds to the limited research on whether a change in accounting regulation for employee share options from disclosure to recognition gives rise to greater scope for earnings management. One reason for the lack of empirical evidence in the research is due to the problem of designing a test. Bernard and Schipper suggest that within-firm studies have limitations for comparing the effects of recognition versus disclosure when the change is driven by an estimate becoming more reliable. A cross-sectional study is also problematic due to self-selection bias if firms can choose between disclosure versus recognition. This study circumvents potential design problems raised by Bernard and Schipper by setting a test using regulatory change which allows the test to be compared directly using the same company.

Employee engagement, human resource management practices and competitive advantage

Abstract
Purpose - The purpose of this paper is to argue in support of a model that shows how four key HRM practices focused on engagement influence organizational climate, job demands and job resources, the psychological experiences of safety, meaningfulness and availability at work, employee engagement, and individual, group and organizational performance and competitive advantage.
Design/methodology/approach - This conceptual review focuses on the research evidence showing interrelationships between organizational context factors, job factors, individual employee psychological and motivational factors, employee outcomes, organizational outcomes and competitive advantage. The proposed model integrates frameworks that have previously run independently in the HR and engagement literatures.
Findings - The authors conclude that HRM practitioners need to move beyond the routine administration of annual engagement surveys and need to embed engagement in HRM policies and practices such personnel selection, socialization, performance management, and training and development.
Practical implications - The authors offer organizations clear guidelines for how HR practices (i.e. selection, socialization, performance management, training) can be used to facilitate and improve employee engagement and result in positive outcomes that will help organizations achieve a competitive advantage.
Originality/value - The authors provide useful new insights for researchers and management professionals wishing to embed engagement within the fabric of HRM policies and practices and employee behaviour, and organizational outcomes.