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What Are The Three Types of Fairness Theories?

Published in Organizational Justice Theories 5 mins read

The three primary types of fairness theories, often discussed in the context of organizational justice, are distributive justice, procedural justice, and interactional justice. These theories describe how individuals perceive fairness within an organization, particularly concerning decisions, processes, and interpersonal treatment. Employee perceptions of these types of fairness significantly impact their attitudes, behaviors, and overall satisfaction with their company.

Understanding Organizational Justice

Organizational justice is a fundamental concept that describes the perceived fairness of decisions and actions within an organization. It encompasses how employees feel about the outcomes they receive, the processes used to determine those outcomes, and the interpersonal treatment they experience from decision-makers. Ensuring fairness is crucial for fostering a positive work environment, enhancing employee morale, and reducing turnover, ultimately contributing to a more engaged and productive workforce.

1. Distributive Justice

Distributive justice refers to the perceived fairness of the outcomes or allocations employees receive. These outcomes can include tangible elements like pay, promotions, and benefits, as well as intangible ones such as work assignments and recognition. The central question for employees evaluating distributive justice is whether the rewards or resources are distributed fairly among all members, considering their contributions and needs.

  • Key Principles Governing Distribution:
    • Equity: Outcomes are proportionate to individual inputs, such as effort, skill, or contribution. For example, higher performance leading to larger bonuses.
    • Equality: Everyone receives the same outcome, irrespective of their inputs. This might apply to benefits like equal access to basic healthcare coverage.
    • Need: Outcomes are distributed based on individual needs, such as providing additional support to employees facing personal hardship.
  • Examples of Fair Distribution:
    • Implementing a transparent bonus structure directly tied to measurable performance metrics.
    • Ensuring all employees have equal access to professional development and training opportunities.
    • Assigning challenging projects based on an employee's proven capabilities rather than favoritism.
  • Practical Insight: When employees perceive distributive injustice, it can lead to feelings of resentment, reduced motivation, and even counterproductive work behaviors. Clearly communicated compensation structures and performance-based reward systems are vital for enhancing perceived fairness and trust. Learn more about Distributive Justice.

2. Procedural Justice

Procedural justice focuses on the perceived fairness of the processes and methods used to make decisions, especially those affecting outcomes. It is not merely about what decisions are made, but how they are made. Employees evaluate whether the decision-making process itself is unbiased, consistent, ethical, and provides opportunities for their input.

  • Key Principles (Leventhal's Rules of Fair Procedure):
    • Consistency: Procedures are applied uniformly across different individuals and over time.
    • Bias Suppression: Decision-makers maintain impartiality and avoid personal biases or favoritism.
    • Accuracy: Decisions are based on accurate and reliable information.
    • Representativeness: The process considers the concerns and voices of all affected parties (e.g., through employee feedback mechanisms).
    • Correctability: There are opportunities to appeal or correct unfair decisions.
    • Ethicality: Procedures align with prevailing moral and ethical standards.
  • Examples of Fair Procedures:
    • Having a clear, well-documented, and consistently applied promotion policy.
    • Providing employees with an opportunity to express their views or concerns before significant organizational changes are implemented.
    • Establishing a formal and transparent grievance procedure for resolving workplace conflicts or complaints.
  • Practical Insight: Fair procedures can significantly mitigate dissatisfaction even when outcomes are unfavorable. Employees are more likely to accept negative outcomes if they believe the process leading to them was just and transparent. Building trust in the system through consistent and unbiased procedures is paramount. Explore Procedural Justice further.

3. Interactional Justice

Interactional justice refers to the perceived fairness of the interpersonal treatment employees receive from managers and decision-makers during the implementation of procedures or delivery of outcomes. It is vital for maintaining employee dignity and respect, especially during difficult conversations or decisions. This type of justice is often divided into two sub-components: informational justice and interpersonal justice.

  • Sub-components:
    • Informational Justice: The perceived fairness of the explanations provided to employees regarding decisions and procedures. This includes providing clear, timely, truthful, and comprehensive information about why certain decisions were made and how they will affect employees.
    • Interpersonal Justice: The perceived fairness of the dignity, respect, and politeness shown to employees by authorities. This involves treating employees with courtesy, avoiding inappropriate remarks, and being sensitive to their concerns and feelings.
  • Examples of Fair Interaction:
    • A manager clearly and empathetically explaining the reasons behind a layoff decision, providing context and support.
    • Supervisors actively listening to employee feedback, validating their concerns, and addressing them respectfully.
    • Delivering performance reviews in a polite, constructive, and considerate manner, even when providing critical feedback.
  • Practical Insight: Even with fair outcomes and procedures, poor interpersonal treatment can lead to feelings of profound injustice, eroding trust and morale. Managers play a critical role in fostering interactional justice through empathetic communication, active listening, and consistently respectful behavior. Learn about Interactional Justice in depth.

Summary of Fairness Theories

To summarize the distinct focus of each fairness theory within organizational justice:

Type of Justice Focus Key Question for Employees
Distributive Fairness of outcomes received (e.g., pay, promotions) "Are the rewards and resources fair?"
Procedural Fairness of processes used to make decisions "Was the decision-making process fair?"
Interactional Fairness of interpersonal treatment and explanations "Was I treated with respect and given proper explanations?"

Understanding and implementing these three types of justice are vital for organizations aiming to cultivate a positive, ethical, and productive work environment. By consistently focusing on fair outcomes, transparent procedures, and respectful interactions, companies can significantly enhance employee satisfaction, engagement, and long-term commitment.