Employees’ Perception on Corporate Social Responsibility Practices and Affective Commitment

Nurulatika Ahmed,Nor Suziwana Tahir

doi:10.24815/jaroe.v2i1.13274

Abstract

AbstractObjective – This research aims to study the employee’s perception on CSR practices and affective commitment in public listed companies in the area of Klang Valley, Malaysia. There were four dimensions on CSR practices that might affect the employee’s affective commitment in the organization which are economic responsibility, legal responsibility, ethical responsibility and philanthropic responsibility. Design/methodology – This study used Likert-Scale questions in order to answer both dependent and independent variables. A set of questionnaire was distributed to the employees who works in public listed companies in Klang Valley area regardless of their industry as population of this study. The data were analyzed by using Statistical Package for the Social Sciences (SPSS). Results – The findings from this study reveal that there is significant relationship of the employee’s perception on four dimensions of CSR practices and affective commitment. More than that, between all the four dimensions of CSR practices, economic responsibilities are found as the main element in influencing the employee’s affective commitment in work. The findings also show that role of gender does not moderate any relationship between dependent variables and independent variables. Research limitations/implications – This research adds the information on the level of affective commitment towards employees’ perceptions in the public listed companies in Malaysia as theoretical part that focused on the CSR dimensions based on the Carroll ‘s Model which are economic responsibility, legal responsibility, ethical responsibility and philanthropic responsibility with gender as the moderating variable in the study. The empirical part of this study has assessed that the economic, legal, ethical and philanthropic responsibility that can affect the level of affective commitment towards the employees’ perceptions in the public listed companies in the Klang Valley.

Highlights

Corporate Social Responsibility (CSR) can be defined as a framework which leads and encourages a company’s actions to be more responsible and give positive impacts towards the various stakeholders including the environment, customers, employees, and communities
CSR has become a famous discussion in the business literature as the researchers are realizing on the importance of the CSR for the business performance
The CSR has acknowledged the importance of the stakeholder groups than the shareholder groups in the business organization

Summary

Introduction

Corporate Social Responsibility (CSR) can be defined as a framework which leads and encourages a company’s actions to be more responsible and give positive impacts towards the various stakeholders including the environment, customers, employees, and communities. The company is able to achieve its sustainability in business strategies by practicing a good social responsibility. A few debates had arisen on organization social responsibilities that focused on what these responsibilities are, how companies engage with various stakeholders and what other aspects are affected. It is an emerging concept that gives a big influence on the organization as well as the business in a recent year. CSR is assumed to be able to address and balance the benefits especially for the companies and various stakeholders (Gyves & O’Higgins, 2008; Tai, Le Xuan & Anh, 2013)

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Discussion

Conclusion