Worklife Balance and Organizational Commitment of Generation Y Employees Evangelista, Marianne Joyce M. Lim, Eric Darryl N. Rocafor, Shirley C. Teh, Germaine Larisse Y.

Introduction

Silent Generation (born: ) ▫witnessed World War II, the Great Depression, the Cold War, the bombing of Pearl Harbor (Young, 2007) Baby Boomer (born: ) ▫born in the midst of events such as civil rights movements, the introduction of the birth control pill, rock and roll (Young, 2007) Generation X (born: ) ▫fall of Berlin, and introduction of punk rock, rap and the personal computer (Young 2007) What we know about Gen Y Generation Y (born: ) ▫ period when the internet, instant messaging, other technology and hip hop are prevalent (Young, 2007)

Characteristics of Generation Y ▫New and distinct ideas, behavior, & characteristics (i.e. Self-entitlement) ▫More loyal to their careers than to the organization ▫Best qualities: hunger for constant learning & self-development ▫Values worklife balance more as compared to the other generations What they say about Gen Y

Does worklife balance affect the organizational commitment of Generation Y employees in the selected IT firm in Metro Manila? Statement of the Problem

Worklife Balance- balance between work and family or life outside work (Yeandle, 2005; Millward, 2005). Fisher- McAuley, et al. (2003) described worklife balance as a competition for both time and energy between the different roles filled by an individual. It may be considered unbalanced for an individual when the amount of time causes some sort of conflict or stress in other areas of life. Organizational Commitment- the employee’s behavior intention to continually work for the organization rather than accepting another job that may offer potentially better socioeconomic benefits (Sheridan & Abelson, 1983). Key Terms

1.To determine the worklife balance status and level of organizational commitment of Generation X employees in the selected IT firm. 2.To determine the worklife balance status and level of organizational commitment of Generation Y employees in the selected IT firm. 3.To compare the similarities and differences in worklife balance status and level of organizational commitment between Generation X and Y employees in the selected IT firm. 4.To identify the effects of worklife balance on organizational commitment in the selected IT firm. Objectives

In a few years, Generation Y will be dominating the workforce! ▫The actual situation / status of WLB and OC of Generation Y in the Philippine Setting ▫If there is a difference between the statuses between Generation X and Y ▫Reasons and potential solutions Significance of the Study

Generation X and Y Worklife Balance Organizational Commitment Objectives of the Study

Generation X and Y Worklife Balance - Work interference with personal life (WIPL) - Personal life interference with work (PLIW) - Work/personal life enhancement (WPLE) Organizational Commitment - Affective commitment - Normative commitment - Continuance commitment Operational Framework

Quantitative Analysis ▫Survey Questionnaires  3 component model of organizational commitment questionnaire, revised by Lee, Allen and Meyer (2001)  Worklife balance scale - “Psychometric Assesment of an Instrument Designed to Measure WorkLife Balance” Hayman (2005). Qualitative Data Analysis ▫Interview Guide Method

Respondents ▫Survey:  all 94 employees of the selected IT firm ▫Interview:  HR  10 employees (5 Gen Y, 5 GenX) Results

Gen X and Y – WLB balance Worklife Balance is significant on Organizational Commitment for both Generation X and Y (p= ) Moderate positive correlation between Worklife Balance and Organizational Commitment at cc=0.30 Gen X – closer to significant level 0.05 (p = ) Gen Y - Worklife Balance did not have a significant difference on Organizational Commitment for Generation Y at (p = ) *p-value significant at p<0.05 Results

Generation Y ▫WLB:  Both Saturday & overtime work are tiresome but does not affect their worklife balance ▫OC:  Most respondents are open to the idea of looking for better job opportunities outside of the company Results

Generation X ▫WLB:  Company interventions on worklife balance are considered sufficient and just “okay” ▫OC:  Majority are loyal to the company and has no immediate intentions or plans to leave Results

Worklife interference with personal life (WIPL)  Similarities  Overtime is necessary (Cramption & Hodge, 2009)  Differences:  Differences in reasons for overtime work (Alexander & James 2009)  Privilege of flexibility in work hours/schedule (X)  Trainings perceived differently (Cubic Consulting, 2008) Discussion: Worklife Balance

Personal life interference with work (PLIW)  Similarities :  Value importance of personal life  Struggle to balance work and life considering 6-day work week  Appreciate Christmas party and outings Discussion: Worklife Balance

Personal life interference with work (PLIW)  Differences :  The definition of personal life: time with family (X) vs. social life (Y)  effect of Saturdays to personal lives (Y)  request for flexible schedules (Y) (Lower & Schwarz, 2008)  proximity to residence (X) Discussion: Worklife Balance

Work/Personal life enhancement (WPLE)  Similarities:  happy with office environment and relationship with management  Differences:  expectations on job function: challenging and personal growth (Y) vs. accustomed to/comfort (X) (Grillo, 2009) Discussion: Worklife Balance

Continuance Commitment (cost of leaving too high)  Similarities :  reasons: economy, the work opportunity available, and the precise uncertainty that comes with the new job (Terjesen, Vinnicombe, and Freeman, 2007)  Opportunity to get a higher salary  Differences :  proximity of the workplace to their homes (X)  perceptions on availability of career advancement Discussion: Organizational Commitment

Normative Commitment (obligation to stay-moral imperatives)  Similarities:  claim that they loyal to the company: provides them work and compensation  Differences:  “utang na loob” - referrals (X)  Seize opportunities for career advancement (Y) (D'Amato & Herzfeldt, 2008) Discussion: Organizational Commitment

Affective Commitment (employee’s attachment, involvement in, and identification with their employers)  Similarities:  reason for loyalty: emotional attachment to bosses & co-employees and the good work environment  Differences:  “utang na loob” to their employers – the company as a whole (X) Discussion: Organizational Commitment

Making the connection: WLB effects on OC Gen Y ▫WLB do not have a significant effect on OC Characteristics of Generation Y Desire to be independent Techno-savvy Impatient/ Sense of Immediacy Demand for responsibility Flexibility of work Clearer expectations based on previous job experience Career planning Self-entitlement

Making the connection: WLB effects on OC Gen X – closer to significant level ▫WLB not significant on OC BUT is closer Characteristics of Generation X Skeptical Self- reliant Loyal Attracted by promises of climbing ladders, paying dues, and cashing out at retirement

Making the connection: WLB effects on OC Gen X and Y – WLB balance Worklife Balance is significant on Organizational Commitment for both Generation X and Y Other variables might have pulled up the scores

Conclusion Generation Y employees do not consider worklife balance as a necessary factor to stay in a company Generation Y sees worklife balance as a given state or basic job consideration that must be already present

Recommendations Looking into the company culture as a possible variable Study or compare to same or another industry or size of the company Compare to another multinational or local company May also look into family businesses Comparing different departments (subcultures) Repackage compensation schemes

Thank You!