A great deal of research has been devoted to understanding the organizational returns of employee referral programs, particularly with respect to outcomes involving those hired through the referral process. Yet, no work has addressed whether the presence of a referral hire (i.e., the referred candidate who is hired and working in the firm) is related to behavioral outcomes for the referrer. Drawing on the social enrichment perspective, we theorize how referral hire presence (RHP), which is the time during which the referrer’s and the referral hire’s employment spells overlap, impacts referrer behavior. Using data from 265 referrers in a U.S. call center, we found that RHP was negatively related to referrer voluntary turnover and positively related to referrer job performance. Further, results from a supplemental experimental study supported our social enrichment rationale for the field study relationships, as the construct was associated with both RHP and additional attitudes known to be proximal predictors of turnover and performance. We also explore boundary conditions for the RHP effect in the call center data, revealing a nuanced mix of moderators of RHP effects. Overall, our findings provide the first evidence for the role of social enrichment, possible modifications to the well-established social enrichment perspective in the workplace, and evidence that understanding the impact of referral hiring necessitates careful consideration of the behavioral consequences for the referrer.

AbstractEmployee mental health is a central issue in today's global workplace. This paper analyzes the effect of high performance work systems (HPWSs) on employee mental health. We integrate HPWS concepts with job demands‐resources (JD‐R) theory to examine competing theoretical perspectives—a positive HPWS influence and a negative HPWS influence on employee mental health. We examine employees' perceptions of psychological empowerment as an indicator of the motivational pathway of the JD‐R and work‐role overload as an indicator of the strain pathway to explain the differential effect of HPWSs on mental health. We also incorporate organizational identification theory to demonstrate how one's identification with the organization can either accentuate or attenuate feelings of both psychological empowerment and work‐role overload. Findings from a study of 999 employees in 174 South Korean organizations indicate that HPWSs are positively associated with employee mental health via employee perceptions of empowerment and that HPWSs are negatively associated with employee mental health through perceptions of work‐role overload. Furthermore, the study finds that organizational identification attenuates the relationship between HPWS and both empowerment and overload. Practice‐level post hoc analyses also reveal that the job design characteristics, pay level, and participative decision‐making are linked to empowerment. In addition, participative decision‐making is most strongly associated with work overload.