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Jobs Found through Social Contacts: Puzzling Coexistence of Higher Job Satisfaction and Higher Quitting Intentions

Sat, August 11, 8:30 to 10:10am, Philadelphia Marriott Downtown, Floor: Level 5, Salon H

Abstract

This study investigates the relationships among the use of social contacts in finding a job, job satisfaction, and the intention to quit the job. While social contacts do not necessarily bring about more satisfaction with the material aspect of the job, they do help individuals to experience more positive social relations with others at their workplace. While individuals who used social contacts in finding their current job are more satisfied with the job (especially its social aspect), they are also more likely to express the intention to quit the job and start new job search. In order to explain this puzzling coexistence of higher job satisfaction and higher quitting intentions in jobs found through social contacts, we stress the perceived cost of job changing. In comparison with those relying on formal channels, individuals using social contacts generally have less invested effort in finding the current job and may be more likely to perceive it easy to find a new job. This perceived less cost of job changing promotes the intention to quit, despite a higher level of satisfaction with the current job. We apply this argument to a large dataset from the 2012 China Labor-Force Dynamics Survey (CLDS) and find empirical support.

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