Multilevel analyses of organizational change and working conditions in public and private sector

Abstract

The aim was to investigate organizational impact on working conditions and to explore the associations between sector, different types of organizational change, and working conditions. A strategic selection was made of representative staff members from 72 work sites. Data pertaining to organizational factors were collected from managers, and to working conditions from employees. Multilevel analyses were performed, with 10 aspects of self-reported and expert assessed psychosocial and ergonomic/physical working conditions as the dependent variables, and patterns of organizational change and sector as the explanatory variables. The results showed that the variance in working conditions was significantly attributed to organizational level (16 – 65% of the variance), and that both the pattern of change and the sector were important. Organizations that had not undergone change provided the best work conditions. The “standardizing” and “market-adjusting” patterns of change had deleterious effects, while the “lean” and “centralizing” patterns led to dual outcomes. Organizational change was perceived as having more negative consequences in the public sector than in the private sector. The results indicate that organizational change contributes to increased differentiation of working conditions, as different types of changes congregate in specific areas of the labour market and affect groups of employees differently.