Sustainable HRM Theories

In this chapter to understand sustainable HRM, an attempt is made initially to explain the theory of simultaneous effects of organizational performance on each of the economic, human/social, and environmental sustainability outcomes. Secondly, the negative externality of HRM practices as a theory of sustainable HRM is explained to understand the negative effects of HRM practices on the stakeholders (i.e. employees, their families, environment, and the society). Thirdly, the theory of harm of work is explained using a framework of harm indicators for work. The theory of harm of work extends the attributes of negative externality of HRM by identifying the harm indicators of work within the psychological, the social/family and the health aspects of harm of work caused by work restrictions imposed on employees to improve wellbeing outcomes. Fourthly, the synthesis effects of HRM theory explains the ethical role of organizations to minimize the negative impacts imposed on the stakeholders (i.e., employees and environment) while maximizing organizational performance. It is explained that the three polarities of improving organizational performance while reducing the simultaneous harm of work imposed on the stakeholders (i.e., employees and environment) are not mutually exclusive but they are mutually reinforcing for sustainable development. The various theories of harm of work for sustainable HRM discussed in the chapter highlights the evolution of concepts within the harm of work perspective of sustainable HRM to understand the unsustainable impacts of work on the stakeholders. However, the theory of synthesis effects of sustainable HRM practices encompasses both improved organizational performance for shareholders while reducing the simultaneous negative impacts on the stakeholders (i.e., employees and environment) so as to achieve holistic corporate sustainability. Finally, the theory of ceiling effect of human energy to understand employee health and wellbeing from the human/social sustainability outcome is explained.