The Influence of Organizational Justice on Employee Engagement Through Trust in Supervisors: PT."R" Study

REZA WIBISONO
041424353028
Supervisor
Dr. Praptini Yulianti, Dra. Ec., M. Si.

ABSTRACT

Manufacturing industry becomes the key of RPJMN 2015-2019.
The Indonesian government seeks to encourage the creation of quality employment opportunities such as increasing productivity by accelerating the absorption of labor to industries that have value added and high productivity (Bappenas, 2014). According to Macey & Schneider (2008); Saks & Gruman (2014) productivity and quality improvement can be achieved with employee engagement. PT "R" is the market leader of polyvinylchloride pipe processing industry (PVC) has low employee engagement results.
Yulianti (2016); Chughtai and Finian (2009) declare employees who have engagement when they feel treated fairly and get the good attitude of leaders and colleagues who support each other and respect in interacting. Justice in this research refers to organizational justice seen from four forms which are distributive justice, procedural justice, interpersonal justice and informational justice (Cropanzano, 2007); Greenberg (1993). The purpose of this study is to analyze the effect of organizational justice on employee engagement through trust in supervisors at PT "R".
The population in this study amounted to 240 permanent employees and 150 samples with the Slovin formula by proportionate sampling. Analytical technique using Partial Least Square (PLS). The results showed that from four dimensions of organizational justice, distributive justice had significant influence on employee engagement through trust in supervisor of 0.652 in full mediation.
While the effect of procedural justice on employee engagement through trust in the supervisor of 0.277 in partial mediation. Furthermore, interpersonal justice significantly affects employee engagement through trust in supervisor of minus 0.281 in full mediation whereas informational justice has no effect on employee engagement. The implication of this research is that companies need to provide information honestly and thoroughly. In communicating, the head of the company needs to refrain from improper and offensive speech and use the supervisor in accordance with its duties as a link between PT "R" and employees.

Keywords: Organizational Justice, Employee Engagement and Trust in Supervisors.

Source: http://mm.feb.unair.ac.id/id/kemahasiswaan/article/article-ilmiah/794- pt-r.html