Relationship between availability of WLB practices and financial results
ISSN: 0048-3486
Article publication date: 2 May 2019
Issue publication date: 23 May 2019
Abstract
Purpose
The purpose of this paper is to investigate the effect of work-life balance (WLB) practices on the financial results of Spanish accounting audit SMEs.
Design/methodology/approach
Using survey data from 148 Spanish accounting audit SMEs, a regression analysis was developed to estimate the direct effects of WLB practices on firms’ financial results (return on capital employed and return on assets). Firm age and size are considered as control variables.
Findings
Senior managers should foster some WLB practices (time-reduction and flexible-work practices) so as to enhance SME audit firms’ financial results. Work-leave practices should be analyzed so as to promote some positive outcomes for firms, through internal reorganization or by reorienting employees to resorting to the most beneficial practices.
Practical implications
Not all WLB practices have positive effects on the business results of SMEs. Therefore, managers may try to reduce these negative effects or redirect employees to WLB practices that have more positive effects on their firms’ financial results. Strategic information is also provided to employees and public institutions about fostering WLB in SMEs.
Social implications
The availability of WLB practices has been deemed fundamental not only for policy makers and society, but also for the organizational culture and for human resource management practices.
Originality/value
This study is the first to investigate the association between the availability of WLB initiatives in SMEs and firms’ financial results.
Keywords
Acknowledgements
The authors thank two anonymous reviewers whose helpful comments and suggestions improved and clarified earlier drafts of this paper.
Citation
Martínez-León, I.M., Olmedo-Cifuentes, I. and Sanchez-Vidal, M.E. (2019), "Relationship between availability of WLB practices and financial results", Personnel Review, Vol. 48 No. 4, pp. 935-956. https://doi.org/10.1108/PR-12-2017-0402
Publisher
:Emerald Publishing Limited
Copyright © 2019, Emerald Publishing Limited