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Business volatility and employee performance

Business volatility and employee performance The purpose of this paper is to examine the impact of business volatility on employee performance.Design/methodology/approachThe authors use regression analysis to examine the authors’ research question.FindingsThe results suggest that business volatility has a significant and positive impact on employee performance. Furthermore, the authors find that the relationship between business volatility and employee performance is stronger for larger firms and firms with higher labor intensity.Originality/valueThe study links and contributes to two streams of literature: employee/labor cost management from the accounting literature and business volatility from the management literature. Whether business volatility affects employee performance remains an interesting question that has not been definitively answered empirically. To the best of the authors’ knowledge, this is the first empirical study that directly examines the relationship between business volatility and employee performance at the firm level. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png American Journal of Business Emerald Publishing

Business volatility and employee performance

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References (52)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
1935-5181
DOI
10.1108/ajb-03-2018-0007
Publisher site
See Article on Publisher Site

Abstract

The purpose of this paper is to examine the impact of business volatility on employee performance.Design/methodology/approachThe authors use regression analysis to examine the authors’ research question.FindingsThe results suggest that business volatility has a significant and positive impact on employee performance. Furthermore, the authors find that the relationship between business volatility and employee performance is stronger for larger firms and firms with higher labor intensity.Originality/valueThe study links and contributes to two streams of literature: employee/labor cost management from the accounting literature and business volatility from the management literature. Whether business volatility affects employee performance remains an interesting question that has not been definitively answered empirically. To the best of the authors’ knowledge, this is the first empirical study that directly examines the relationship between business volatility and employee performance at the firm level.

Journal

American Journal of BusinessEmerald Publishing

Published: Aug 21, 2018

Keywords: Employee performance; Employee efficiency; Employee productivity; Business volatility; Employee cost

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