The implications of market-based versus supportive idiosyncratic deal pathways

Mackintosh, Catherine; McDermott, Aoife M.

Abstract

This article contributes to the idiosyncratic deals (i-deals) literature by explicating and theorizing market-based and supportive i-deal pathways. In so doing, it enhances understanding of how i-deals are negotiated, addresses gaps in theoretical understanding about how outcomes emerge and reconciles divergent narratives regarding the availability of i-deals to stars or a broader pool of employees. To achieve this, the study explores the inputs, process, and outcomes of flexibility and financial i-deal creation using a qualitative approach. It addresses a deficit in multi-stakeholder i-deals research, drawing on 42 semi-structured interviews with employees, line managers and HR representatives in a financial service and a construction company. Findings detail how market-based i-deals are premised on economic exchange. They respond to employer needs to secure star performers, while employee needs may be flexibility or financially focused. The negotiation of market-based i-deals is distributive, and their creation is perceived by employees as special treatment to which they are entitled, leading to purely functional benefits for organizations (e.g., recruitment/retention). In contrast, supportive i-deals are relational, responding to employee needs for flexibility and employer needs to build high-quality employment relationships. Their negotiation is integrative. Perceived by employees as a reflection of being valued, supportive i-deals lead to broader reciprocation. Researchers and practitioners should consider the implications of these pathways. In particular, the article emphasizes the broad benefits of supportive i-deals but serves to manage expectations regarding the potential limitations of market-based i-deals, that may lead to functional benefits (e.g., recruitment/retention) but not positive attitudes and behaviors.

• Journal Article Type: Article
• Acceptance Date: Mar 1, 2022
• Online Publication Date: Jun 6, 2022
• Publication Date: 2023-02
• Deposit Date: Apr 7, 2022
• Publicly Available Date: Jun 14, 2022
• Journal: Group and Organization Management
• Print ISSN: 1059-6011
• Electronic ISSN: 1552-3993
• Publisher: SAGE Publications
• Peer Reviewed: Peer Reviewed
• Volume: 48
• Issue: 1
• Pages: 125–155
• DOI: https://doi.org/10.1177/10596011221088435
• Keywords: idiosyncratic deal pathways; flexibility i-deal; financial i-deal; ex-ante; ex-post; market-based; supportive
• Public URL: https://uwe-repository.worktribe.com/output/9238728
• Publisher URL: https://journals.sagepub.com/doi/10.1177/10596011221088435