Flexible working arrangements as privilege or entitlement? Type of access to flexible working arrangements shapes reciprocal beliefs and social exchange relationships in hybrid work teams

Abstract

Literature suggests that employees reciprocate the ‘privilege’ for flexible working arrangements (FWA) with higher effort. Drawing on social exchange theory, our interview study investigated how leaders shape members’ beliefs about the need to reciprocate the access to FWA. Based on 20 interviews nested in ten teams from two organisations, we analysed how FWA are perceived and negotiated between team leaders and their members, and whether low or high prevalence of FWA in teams plays a role for establishing social exchange relationships. The interviews took place prior to Covid-19. While in one organisation access to FWA was negotiated individually only due to a specific need, in the other organisation it was facilitated more easily and granting FWA had evolved as a social norm. Our findings indicate that in both contexts FWA indeed initiated social exchange relationships, as team members often tried to return the favour for access to FWA by maintaining the performance and/or by showing high flexibility. When FWA were granted to selected members only (low prevalence), ‘score-keeping’ and ‘quid-pro-quo exchanges’ were mentioned as important exchange rules in the accounts. In the organisation with high FWA prevalence, cooperative team routines showed that members felt the need to reciprocate the favour to other team members or the organisation rather than directly to the leader. However, even in this organisation, leaders were able to establish employees’ belief in privilege and their obligation to reciprocate in order for them not to lose access to FWA. Our findings show the role of the leader in shaping and instrumentalising FWA. The study has high practical relevance for hybrid teams and discusses the essential role of leaders in FWA.