The Influence of Justice Perceptions on Performance Appraisal Reactions in Telecom Sector of Pakistan

Abstract

Performance appraisal remains very important human resource management practice and its success depend upon employees’ fairness perceptions and reactions to performance appraisal process. This paper integrate previous research pertaining to the effect of justice perceptions of employees on their affective reactions. It determines employees’ perceptions of organizational justice and satisfaction regarding their performance appraisal process in the context of Pakistan’s Telecom sector. It also examines linkage between organizational justice and employee satisfaction. Organizational justice dimensions (distributive, procedural, interpersonal and informational) are identified and measured by using ten multi-item constructs. Satisfaction of employees with their performance appraisal, performance appraisal system and the supervisor is also explained and measured in this study. It subsequently investigates relationship between these variables. The data is obtained from 350 employees of Telecom sector organizations using survey method. The study show that appraisal processes are perceived as fair and employees are also found satisfied with the process. The hypothesized positive relationship between above stated four justice constructs and three dimensions of satisfaction is also confirmed. The study shows importance of fairness perceptions of performance appraisal process. It would help Telecom sector organizations of Pakistan in evaluation of their performance appraisal practices in order to identify shortcomings for subsequent improvement in the system; thereby affecting individual employee and overall organizational performance.