Green Human Resource Management – A Personnel Economics Perspective

25 Pages Posted: 17 Dec 2019 Last revised: 30 Jun 2021

See all articles by Bernard Sinclair-Desgagne

Bernard Sinclair-Desgagne

Skema Business School & GREDEG, Université Côte D'Azur

Date Written: June 29, 2021

Abstract

The Stern-Stiglitz Report on carbon pricing emphasizes that environmental policy must not only cope with market failures, but also with government and organizational failures. Focusing on the latter, this paper investigates how some practices central to human resource management - employee selection and training, performance appraisal and rewards, employee discretion and empowerment - can be jointly deployed to direct managerial attention adequately. Using a static multi-task principal-agent model and standard monotone comparative statics tools, I derive predictions/prescriptions on how these practices should adjust as the firm's stakes in sustainability increase. These prescriptions notably include some qualifications concerning the outsourcing of environmental services and employee training, and some implications for public policy.

Keywords: Environmental management; Ability-Motivation-Opportunity (AMO) approach; Multi-task principal-agent analysis; Economics of attention

JEL Classification: Q50, L20, M50

Suggested Citation

Sinclair-Desgagne, Bernard, Green Human Resource Management – A Personnel Economics Perspective (June 29, 2021). Available at SSRN: https://ssrn.com/abstract=3497748 or http://dx.doi.org/10.2139/ssrn.3497748

Bernard Sinclair-Desgagne (Contact Author)

Skema Business School & GREDEG, Université Côte D'Azur ( email )

Rue Dostoievsky
Sophia Antipolis, 06200
France

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