Controlling Working Crowds: The Impact of Digitalization on Worker Autonomy and Monitoring Across Hierarchical Levels

Gerten Elisa (), Beckmann Michael () and Bellmann Lutz ()
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Gerten Elisa: University of Basel, Peter Merian-Weg 6, Basel, Switzerland
Beckmann Michael: University of Basel, Basel, Switzerland
Bellmann Lutz: Institute for Employment Research, Nuremberg and University of Erlangen-Nuremberg, Nuremberg, Germany

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), 2019, vol. 239, issue 3, 441-481

Abstract: This study investigates the impact of information and communication technologies (ICT) on worker autonomy and monitoring using the second wave of the German Linked Personnel Panel, a linked employer-employee data set. From a theoretical point of view, the impact of ICT on workplace organization is ambiguous. On the one hand, the fast diffusion of ICT among employees makes it possible to monitor professional activities, leading to greater centralization. On the other hand, ICT enable employees to work more autonomously, so that workplace organization becomes more decentralized. Based on ordinary least squares and instrumental variable estimates, we find that ICT promotes both centralization and decentralization tendencies. Furthermore, managerial employees are more affected by ICT-induced monitoring and autonomy than their non-managerial counterparts. Finally, the effect of digital ICT on employee autonomy is more pronounced than the corresponding effect on employee monitoring. Again, this does especially hold for managerial employees. All in all, our results support the view that unlike prior technological revolutions digitalization primarily affects the employment prospects and working conditions of employees at medium and higher hierarchical levels.

Keywords: information and communication technologies (ICT); workplace organization; worker autonomy; worker monitoring (search for similar items in EconPapers)
JEL-codes: L22 M54 O33 (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:jns:jbstat:v:239:y:2019:i:3:p:441-481:n:3

DOI: 10.1515/jbnst-2017-0154

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