Corporate Social Responsibility (CSR) and Perceived Employee Outcome: The Mediating Role of HR Practices

Abstract

The study endeavors at foreseeing the effects of human related facets on Corporate Social Responsibility (CSR) initiatives in Pakistan. Organizations receive all their resources from the society and then as an Organization Citizenship Behavior (OCB) they pay back to the society in the form of social initiatives. CSR initiatives have been emerging in Pakistan since the last decade and organizations are thriving to become socially active for their sustainability. CSR initiatives stimulate both the internal customers (employees) as well as the external customers. This study however, focuses on the internal customers and their perceived outcomes as a result of CSR initiatives. The perception of Human Resource (HR) function as strategic partner has accentuated advancements in HR and organizations having superior HRP have a competitive edge over their competitors. Self-administered questionnaire measuring CSR, HR practices (HRP) and perceived employee outcomes (OC) were circulated among employees of various organizations practicing CSR in Pakistan. The results show that the CSR, perceived OC and HRP are positively correlated. Baron and Kenny test for mediation indicated that the HRP mediates the relationship between CSR and perceived OC. The study offers insights for the top managers to improve their HRP for positive employee behavioral outcomes as well as better CSR initiatives.