Examining the roles of job attitudes and work values

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Journal of Occupational and Organizational Psychology (2013), 86, 435–455 © 2013 The British Psychological Society www.wileyonlinelibrary.com Perceived overqualification and withdrawal behaviours: Examining the roles of job attitudes and work values Douglas C. Maynard 1 * and Natalya M. Parfyonova 2 1 State University of New York at New Paltz, USA 2 Yardstick, Toronto, Ontario, Canada The current study examined a moderated mediation model of perceived overqualification and job search, with job attitudes as mediators and the competence and growth work value as a moderator. We also hypothesized a positive relationship between overqual- ification and actual voluntary turnover behaviour. College graduates from diverse occupations completed two surveys spaced 6 months apart (n = 368). Results suggested that perceived overqualification at Time 1 led to active job search behaviour at Time 2, both directly and through job satisfaction. The direct link was moderated by work values, such that the overqualificationjob search relationship was stronger for employees who highly valued work which offered skill utilization and growth. Perceived overqualification was also predictive of voluntary turnover behaviour; those at the high end of the overqualification scale were over four times more likely to have left their position than those at the low end of the scale. Finally, those who left their original positions reported less overqualification in their new positions. The current findings extend the limited existing literature by establishing relationships between overqualification and withdrawal behaviours 6 months later, and also providing evidence that individual differences may influence reactions to being overqualified. Practitioner points The current study found that employees who feel overqualified were more likely to be searching for a new job 6 months later, especially among those who strongly value work that utilizes their skills. Perceived overqualification was also linked to future actual turnover behaviour. Thus, organizations stand to potentially lose talented employees if they feel underutilized and underchallenged in their jobs. These trends are particularly true of employees who strongly desire work that takes advantage of their talents, suggesting that the most ambitious employees are likely to seek alternate employment if they feel underutilized. *Correspondence should be addressed to Douglas C. Maynard, Department of Psychology, State University of New York at New Paltz, 600 Hawk Drive, New Paltz, NY 12561-2440 (e-mail: [email protected]). DOI:10.1111/joop.12006 435

Transcript of Examining the roles of job attitudes and work values

Page 1: Examining the roles of job attitudes and work values

Journal of Occupational and Organizational Psychology (2013), 86, 435–455

© 2013 The British Psychological Society

www.wileyonlinelibrary.com

Perceived overqualification and withdrawalbehaviours: Examining the roles of job attitudesand work values

Douglas C. Maynard1* and Natalya M. Parfyonova2

1State University of New York at New Paltz, USA2Yardstick, Toronto, Ontario, Canada

The current study examined amoderatedmediationmodel of perceived overqualification

and job search, with job attitudes as mediators and the competence and growth work

value as a moderator. We also hypothesized a positive relationship between overqual-

ification and actual voluntary turnover behaviour. College graduates from diverse

occupations completed two surveys spaced 6 months apart (n = 368). Results suggested

that perceived overqualification at Time 1 led to active job search behaviour at Time 2,

both directly and through job satisfaction. The direct link was moderated by work values,

such that the overqualification–job search relationship was stronger for employees who

highly valued work which offered skill utilization and growth. Perceived overqualification

was also predictive of voluntary turnover behaviour; those at the high end of the

overqualification scale were over four times more likely to have left their position than

those at the low end of the scale. Finally, those who left their original positions reported

less overqualification in their new positions. The current findings extend the limited

existing literature by establishing relationships between overqualification and withdrawal

behaviours 6 months later, and also providing evidence that individual differences may

influence reactions to being overqualified.

Practitioner points

� The current study found that employees who feel overqualified were more likely to be searching for a

new job 6 months later, especially among those who strongly value work that utilizes their skills.

Perceived overqualification was also linked to future actual turnover behaviour. Thus, organizations

stand to potentially lose talented employees if they feel underutilized and underchallenged in their jobs.

� These trends are particularly true of employeeswho strongly desirework that takes advantage of their

talents, suggesting that the most ambitious employees are likely to seek alternate employment if they

feel underutilized.

*Correspondence should be addressed to Douglas C. Maynard, Department of Psychology, State University of New York atNew Paltz, 600 Hawk Drive, New Paltz, NY 12561-2440 (e-mail: [email protected]).

DOI:10.1111/joop.12006

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� To retain these employees, supervisors first need to identify employees who might be feeling

overqualified and underutilized, as these perceptions may or may not line up with ‘objective’

overqualification. The supervisor can then consider ways to empower the employee through

increased involvement in decision-making or offering more advanced job assignments.

Both researchers and hiringmanagers have hypothesized that perceived overqualification

– an employee’s belief that he or she possesses education, experience, and/or skills

beyond the job requirements – can produce dissatisfaction, trigger job search, and

ultimately result in turnover behaviour (e.g., Cable&Hendey, 2009/2010; Feldman, 1996;

Maynard, Taylor, & Hakel, 2009). Perceived overqualification does, in fact, predict lower

job satisfaction and higher turnover intentions (e.g., Maynard, Joseph, & Maynard, 2006;

Wald, 2005), but the literature has yet to firmly link overqualification to actual job searchand voluntary turnover behaviour.

Therefore, the central aim of the current study is to expand upon recent investigations

of the perceived overqualification–withdrawal association (Erdogan & Bauer, 2009;

McGuinness & Wooden, 2009). We empirically evaluate two explanations for expecting

such a link. First, among the overqualified, job search and turnover are driven in part by a

need to find employment which better utilizes their skills (e.g., Feldman, 2011). Thus, we

examinewhether overqualification ismore strongly associatedwith negative job attitudes

and more job search for employees who highly value such skill utilization. Second, asperceived overqualification is expected to produce, first, poor job attitudes and then job

search and withdrawal, we test the proposition that the effect of overqualification on job

search will be mediated by job satisfaction and organizational commitment.

These relationships areworth exploring for several reasons. First, overqualification is a

common experience; roughly one quarter of U.S. and Europeanworkers are overqualified

(or at least feeling overqualified) for their current positions (e.g., Cable & Hendey, 2009/

2010;McGuinness, 2006). Second, recent evidence suggests that overqualified employees

may be high-level performers in spite of their unsatisfactory employment situation (e.g.,Fine, 2007; Fine&Nevo, 2008; for a review, see Bashshur, Hern�andez, & Peir�o, 2011), andorganizations may lose valuable significant talent when overqualified employees quit

(Erdogan, Bauer, Peir�o, & Truxillo, 2011). Finally, past research has accounted for only

about 5% of the variance in voluntary employee turnover (Griffeth, Hom, & Gaertner,

2000). Given its prevalence andpredictive power for job attitudes and turnover intentions

(McKee-Ryan, & Harvey, 2011), perceived overqualification is an important potential

antecedent of actual turnover behaviour in need of greater empirical attention.

Overqualification as poor person–job fit

Overqualification is the extent to which an employee has surplus education, experience,

and/or knowledge, skills, abilities, and other characteristics (KSAOs), relative to the

requirements of his or her position (Maynard et al., 2006, 2009). The phenomenon of

overqualification has only been investigated in a handful of studies in the organizational

sciences (Erdogan et al., 2011). In past research, overqualification has been measured

both objectively (e.g., by comparing one’s level of education to the educationalrequirement for the job; e.g., Madamba & De Jong, 1997) and subjectively via self-report

measures (e.g., Johnson, Morrow, & Johnson, 2002; Maynard et al., 2006). Subjective

measures are more commonly used in part because they are stronger, more proximal

predictors of organizational behaviour which reflect the employee’s perception of the

436 Douglas C. Maynard and Natalya M. Parfyonova

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situation (Erdogan et al., 2011) and thus the reality to which she responds (Cable &

Edwards, 2004; Kristof-Brown & Guay, 2011; Spector, 2006). Therefore, in the current

study,we focus uponemployee perceptions of overqualification as a potential antecedent

of withdrawal behaviour.

Person–job fitResearchers (e.g., Feldman, 1996; McKee-Ryan & Harvey, 2011) have consistently

hypothesized that overqualification will be associated with negative outcomes for both

the employee and organization. While a variety of perspectives have been employed for

framing such hypotheses (see Luksyte & Spitzmueller, 2011 for a review), one that is

particularly useful for understanding links between overqualification and withdrawalbehaviour is person–job (P-J) fit, a particular model within person–environment (P-E) fit

theory (Kristof, 1996). In the P-E fit literature, fit refers to the match between the

characteristics of an individual and the characteristics of his or herwork situation. Good fit

is associated with positive outcomes for the employee and the organization, including

positive job attitudes, job performance, and career success (e.g., Kristof, 1996; Ostroff,

Shin, & Feinberg, 2002), while poor fit is associated with undesirable outcomes (Kristof-

Brown&Guay, 2011). The degree ofmatch between the person andwork environment is

presumed to impact attitudes and behaviours through its effects on need fulfilment,satisfaction, and/or value congruence (Cable & Edwards, 2004).

Person–job fit in particular occurs when an individual’s KSAOs are consistent with the

demands and characteristics of the job. French, Caplan, & Harrison (1982) and French,

Rodgers, & Cobb (1974) identified two distinct types of P-J fit. Demands–abilities fitrefers to the match between the requirements of the job and the KSAOs of the employee,

whereas needs–supplies fit reflects the extent to which the goals, values, or desires of the

employee are satisfied by the qualities of the job. By definition, overqualification is a

particular case of poor demands–abilities fit, as the employee experiences a discrepancyin the form of excess education, experience, and/or skill relative to job demands. The

perceived discrepancy is thus expected to result in negative job attitudes and withdrawal

behaviours, including job search behaviour.

How overqualification leads to job search

Based on P-J fit concepts and past research on overqualification, we argue that (a)

perceived overqualification will be positively associated with job search behaviour, (b)this relationship will be partially mediated by job attitudes, and (c) these indirect effects

will bemoderated by the extent towhich the employee valueswork that utilizes his or her

talents. Figure 1 presents a conceptual model that integrates these propositions.

Overqualification and job search

Past P-J fit researchers have linked various forms of fit to both job search (e.g., Cable &

Judge, 1994, 1996; Schneider, Goldstein, & Smith, 1995) and turnover intentions (e.g.,Bretz & Judge, 1994; O’Reilly, Chatman, & Caldwell, 1991). Relatedly, in their meta-

analysis, Kristof-Brown, Zimmerman, and Johnson (2005) identified a robust negative link

between P-J fit and intent to quit (q = �.46).

There is ample evidence in the underemployment literature that overqualification is

associatedwith greater intentions to leave the organization (e.g., Bolino& Feldman, 2000;

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Burris, 1983; Maynard et al., 2006; McGuinness &Wooden, 2009;Wald, 2005). However,

there is less research on the related construct of job search behaviour. Recent business

graduates in a job that did not use their expertise were more likely to indicate that they

were currently looking for another job than graduates who were using their expertise in

their jobs (Feldman & Turnley, 1995). Similarly, in a sample of executives re-employed

following a layoff, Feldman, Leana, and Bolino (2002) found that perceptions of skill

underutilization relative to their previous jobwere associatedwith active job search.Wald(2005) also found a significant association between perceptions of overqualification and

reported job search. Therefore, the current research, while scant, does suggest a positive

relationship between perceived overqualification and job search.

Hypothesis 1a: Among employees in the same jobs at Time 1 and Time 2, perceived

overqualification at Time 1 will be positively associated with active job

search behaviour at Time 2.

The mediating role of job attitudes

By consideringmodels of employee turnover alongside the previously described concepts

from the fit literature, we can begin to outline the process by which perceptions of

overqualification may result in job search and, ultimately, turnover behaviour. Classic

models of turnover (e.g.,March&Simon, 1958) placedissatisfaction and lowcommitment

at the heart of the withdrawal process, and these models often suggest that poor job

attitudes arise from job characteristics which may be associated with overqualification.For example, Price (1977, 2001) and Price &Mueller (1981) argued that low opportunity

for promotion, low autonomy, and a high degree of routinization negatively impact

satisfaction and commitment, which ultimately drive search behaviour. More recent

models of turnover (Lee & Mitchell, 1994; Maertz & Campion, 2004) also implicate poor

job attitudes as important mediators in some paths to employee withdrawal from the

organization (Hom, 2011).

The influential work of Mobley (1977) and Mobley, Griffeth, Hand, & Meglino (1979)

puts great emphasis on job satisfaction as a key mediator in the turnover process. One

Perceived Overqualification

Affective Commitment

Job Satisfaction

Competence and Growth

Active Job SearchBehaviour

Figure 1. Conceptual path model of the direct and indirect effects of perceived overqualification (Time

1) upon active job search behaviour (Time 2) through job attitudes and moderated by competence and

growth work value.

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particular aspect of this model relevant to overqualification is attention to the role of job-

related perceptions in this process. These perceptions arise from a combination of work

characteristics (e.g., job content) and individual characteristics (e.g., skill level, education,

and aptitude) and are hypothesized to impact satisfactionwith one’s job and expectationsregarding future job outcomes, both of which then lead to job search and turnover.

Empirical findings support each link in this proposed causal chain (from perceptions

to attitudes to behaviours) as it applies to overqualification. Overqualification has been

linked to low job satisfaction (e.g., Johnson & Johnson, 2000; De Witte & Lagrou, 1990)

and affective commitment (Feldman et al., 2002;Maynard& Joseph, 2008;Maynard et al.,

2006), as has been found for low P-J fit more generally (Kristof-Brown et al., 2005). And

past research has identified job satisfaction (e.g., Swider, Boswell, & Zimmerman, 2011)

and affective commitment (e.g., Somers, 2009) as predictors of job search behaviour.Therefore, we argue that the perception of overqualification produces dissatisfaction and

low affective commitment to the organization,which in turn lead to job search behaviour.

As such, our study is the first to examine job attitudes as potential mediators of the

overqualification–job search relationship.

Hypothesis 1b: Among employees in the same jobs at Time 1 andTime 2, job satisfaction

and organizational commitment at Time 1 will mediate the relationship

between perceived overqualification at Time 1 and active job search

behaviour at Time 2.

The moderating role of work values

Erdogan and Bauer (2009) noted a lack of research that examines moderators of

relationships between overqualification and various outcomes. One assumption implicit

in the literature is that all employees prefer a goodmatch between their skill sets and their

jobs and that poor fit consistently produces negative affective and behavioural reactions.

However, Kristof (1996) argued that fit–outcome relationships would be ‘moderated bythe importance of the characteristics on which fit is assessed… to the individual’ (p. 40).

In the current context, this suggests that perceived overqualification would be most

influential among those employees who highly value skill utilization at work. These

employees should experience a lack of needs–supplies fit and thus hold poorer job

attitudes and be at heightened risk for withdrawal behaviours.

Although no research has yet examined the possibility that work values maymoderate

overqualification–outcome relationships, the theory of work adjustment (Dawis &

Lofquist, 1984) suggests that congruence between interests and values (e.g., a desire forskill utilization) and job characteristics (e.g., actual utilization) should predict job attitudes

and withdrawal behaviours, and extensive research has generally supported this

proposition (e.g., Bretz & Judge, 1994; Lyons & O’Brien, 2006). Similarly, image theory

(Beach & Mitchell, 1998) posits that alternative job opportunities are evaluated against

one’s current job based on value image – the extent towhich one’s valuesmatch one’s job

characteristics (Harman, Lee, Mitchell, Felps, & Owens, 2007). Finally, many researchers

have identified individual values as important moderators of the turnover process (Price,

2001). In the light of these theoretical arguments, we extend past research by examiningwhether, among overqualified employees, those who most desire work situations that

capitalize and build upon their KSAOs are more likely to seek employment elsewhere.

To test this hypothesis, we examine the competence and growth work value,

which represents the extent to which employees prefer work that takes advantage of

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their talents and offers challenge and professional development (e.g., Elizur & Sagie,

1999; Manhardt, 1972; Ros, Schwartz, & Surkiss, 1999). Although seeing oneself as

overqualified should weaken job satisfaction and affective commitment among all

employees (and thus increase job search), this should be especially true of thoseemployees who place a high value on work that utilizes and builds upon their

capabilities. In fact, while we expect job attitudes to mediate the overqualification–jobsearch relationship in general (Hypothesis 1b), we propose that these indirect effects

will be conditional on high competence and growth value. We also hypothesize that

the direct path from overqualification to job search behaviour will be moderated by

this work value.

Hypothesis 1c: Work values will moderate the relationships between perceived

overqualification at Time 1 and (a) job satisfaction and affective

commitment at Time 1 and (b) active job search behaviour at Time 2,

such that these relationships will be stronger for employees with a

greater preference for competence and growth in their jobs.

Voluntary turnover and the quality of re-employment

A secondary goal of the current study is to examine the impact of perceived

overqualification upon voluntary turnover and the impact of changing jobs uponperceptions of overqualification. Kristof-Brown et al. (2005) identified a negative,

although small, link between P-J fit and actual turnover (q = �.08) in their meta-

analysis. Empirical evidence on the specific relationship between overqualification and

turnover behaviour comes primarily from analyses of single-item measures of

overeducation or overskilling from large-scale labour surveys. Verhaest and Omey

(2006) found that employees with surplus education were at higher risk to leave their

positions. Also, McGuinness and Wooden (2009) found that Australian workers

categorized as ‘severely overskilled’ had a one-year turnover rate of 16% as compared toa rate of 10% for those reporting a close match between their skills and the job’s

requirements.

Only one study has directly examined the role of perceived overqualification in

turnover behaviour. In a sample of retail sales associates in Turkey, Erdogan and Bauer

(2009) found that overqualificationwas associated with higher rates of turnover, but only

among employees who reported low empowerment. In the current study, we

complement Erdogan and Bauer’s study by examining turnover behaviour with a sample

of U.S. college graduates spanning different occupations. Different features such asculture (e.g., Peretz & Fried, 2011), industry-specific economic trends (Hulin, Roznowski,

& Hachiya, 1985), and education level might reasonably affect the psychological process

by which employees consider and engage in voluntary turnover. For example, college

graduates are likely to evaluate their jobs in terms of fit with their career goals, whereas

students who have not yet completed college (which comprised the majority of Erdogan

and Bauer’s sample) may not necessarily view overqualification as problematic, because

their careers have not yet started in earnest.

Hypothesis 2: Higher levels of perceived overqualification at Time 1 will be associated

with higher rates of voluntary turnover at Time 2.

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Finally, we explore the improvement in one’s work situation as a result of voluntary

turnover. In most cases, employees who voluntarily leave their job for another should do

so because of perceived advantages of holding a new job elsewhere. Among the

overqualified, we argue that a process similar to the attrition phase described in theattrition–selection–attrition (ASA) framework (De Cooman et al., 2009; Smith, 2008)

takes place, with individuals leaving for positions which hold the promise of better skill

utilization. If perceived overqualification does indeed predict voluntary turnover

behaviour, we should see lowered perceptions of overqualification in the new position.

Alba-Ram�ırez (1993) found in a Spanish sample that most objectively overeducated

workers over 30whohad left their jobs found later employment forwhich theyweremore

adequatelymatched.Mavromaras,McGuinness, andWooden (2007) andMcGuinness and

Wooden (2009) found that among employees who were categorized as ‘severelyoverskilled’ and had left for another position, roughly two-thirds reported using more of

their abilities in their new jobs one and 4 years later, although many still perceived some

lack of skill usage.

In sum, there is some evidence from labour economics that job change among the

overeducated or overskilled results in bettermatches. In the current study, we extend the

literature by examining this questionwith ameasure of perceived overqualificationwhich

simultaneously taps all aspects of the construct (i.e., surplus education, experience, and

skill).

Hypothesis 3: Individualswho leave their job voluntarily betweenTime 1 andTime 2will

report feeling less overqualified in their new positions than in their

previous positions.

Method

Participants and procedure

Recent alumni of a small public university in the north-eastern United States completed

two surveys. Data collection occurred during a period of relatively low unemployment

nationally (roughly 5% for both Time 1 and Time 2), just prior to the 2008 rise in

unemployment triggered by the recent economic recession. A total of 574 alumni (10.2%)

responded to a letter directing them to an online employment survey (Time 1). These

respondents were sent another letter 6 months later asking them to complete the secondsurvey (Time 2), and 421 of the Time 1 respondents (80.7%) also completed the Time 2

survey. Participantswere entered into a drawing for $100 for each survey they completed.

Removing self-employed respondents (6.6%) and thosewith incomplete data resulted in a

final sample of 494 employees, 368 of whom completed both surveys.

Respondents were primarily female (73.1%), similar to the gender composition of

the university (68%). Most respondents were between the ages of 25 and 34 (67.5%)

or between the ages of 35 and 49 (19.5%). Nearly all held either a bachelor’s (48.2%)

or master’s degree (49.6%) as their highest educational degree. Area of study includedthe full range of liberal arts, science, fine arts, and professional disciplines.

Respondents were largely employed in full-time, permanent positions (78%).

Participants held jobs in a wide variety of areas (education, 36.1%; management;

11.3%; office and administrative support, 7.2%; community and social services, 7.0%;

other, 38.4%). At Time 1, most respondents had been employed in their current

position for over a year (78.1%).

Overqualification and turnover 441

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Time 1 measures

Perceived overqualification

We measured perceived overqualification with the 9-item Scale of Perceived Overqual-

ification (SPOQ;Maynard et al., 2006),whichmeasures perceptions of surplus education,

experience, andKSAOs on a scale from 1 (strongly disagree) to 7 (strongly agree, e.g. ‘My

job requires less education than I have’.).

Competence and growth

To measure this work value dimension, we began with Meyer, Irving and Allen (1998) 9-

item measure of competence and growth work values, which was based on an earlier

measure by Manhardt (1972). Respondents indicated how important various job

characteristics are to them (e.g., ‘Is intellectually stimulating’) from 1 (unimportant to

me) to 5 (very important to me).

A review of the scale revealed some potential issues, including relatively low internalconsistency (a = .65; Meyer et al., 1998), underrepresentation of the skill utilization

aspect of the construct (one item taps development of KSAOs, but no items specifically

tapped usage), and several items which seemed conceptually distinct from ‘competence

and growth’ (e.g., ‘requires meeting and speakingwithmany other people’, ‘satisfies your

cultural and aesthetic interests’). We reviewed the items included in this scale for content

validity, working from the conceptualization of competence and growth value as

‘preferring work situations which (a) allow one to utilize one’s education, experience, or

KSAOs and (b) provide opportunities for stimulation, challenge, and professional growthand development’. Four of the nine items specifically tapped the latter aspect of the value.

Therefore, wewrote two new items relevant to skill utilization, resulting in a proposed 6-

item measure. All 11 items were included in the survey.

We evaluated the factor structure of three versions of the measure using confirmatory

factor analysis: the original Meyer et al. version of the 9-item measure (Model 1), a full

model including all original items plus the two new items (Model 2), and the proposed 6-

itemmeasure (Model 3). Results areprovided inTable 1. Theproposedmeasure (Model 3)

had the strongest results in terms of absolute fit (i.e., SRMR = .020, RMSEA = .091) andcomparative fit indices (CFI = .97). It also had the greatest parsimony, as indicated by the

low Akaike information criterion (AIC) relative to the other two models. An examination

of correlation residuals for this model revealed no particular pattern and none of the

residuals exceeded |.10|.

To test for the distinctiveness of this measure from the overqualificationmeasure, two

nested models were compared: one with two factors (six items for competence and

growth and nine items for SPOQ) and one with a single unidimensional factor. The fit of

the two-factor model was significantly better, difference v2(1) = 943.82, p < .001.Finally, the resulting competence and growth scale demonstrated acceptable internal

consistency (a = .83). Given these findings, the 6-itemmeasure (seeTable 2)was used for

testing hypotheses in the current study.

Global job satisfaction

We measured global job satisfaction with the 1997 revised version of the Job In General

(JIG) subscale of the Job Descriptive Index (JDI; Balzer et al., 1997). This subscale iscomprised of 18 adjectives; participants indicate whether or not each adjective describes

442 Douglas C. Maynard and Natalya M. Parfyonova

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their job situation by responding eitherYes,No, or ? (not sure). The recommended scoringprocedure was used, whereby positive, unsure, and negative responses were given

3, 1, and 0 points, respectively. Items were summed to produce a total score, ranging

from 0 to 54.

Affective commitment

We utilized Meyer, Allen, and Smith’s (1993) affective commitment scale, which includes

six itemsmeasuring the emotional attachment employees feel towards their organizations(e.g., ‘This organization has a great deal of personal meaning for me’.). Participants

responded using a 7-point Likert scale, ranging from 1 (strongly disagree) to 7 (strongly

agree).

Control variables

We chose three variables to serve as controls in our regression analyses: perceived

underpayment, age, and gender. First, we included perceived underpayment because ajob which does not utilize one’s education, experience, or KSAOs is also likely to pay less

Table 1. Values of fit statistics for competing competence and growth value models

Index

Model

1: Original scalea 2: Full scaleb 3: Revised scalec

No. of items 9 11 6

v2 (df) 145.399 (27)*** 230.184 (44)*** 43.00 (9)***

RMSEA (90% CI) 0.098 (0.082–0.114) 0.096 (0.084–0.108) 0.091 (0.065–0.119)CFI 0.89 0.89 0.97

SRMR 0.042 0.045 0.020

AIC 181.389 274.184 67.00

Note. N = 488. RMSEA, Root Mean Square Error of Approximation; CFI, Comparative Fit Index; SRMR,

Standardized Root Mean Square Residual; AIC, Akaike information criterion.aFrom Meyer et al. (1998).bOriginal scale plus two new items.c Four original items chosen based on content validity plus two new items.

*p < .05; **p < .01; ***p < .001.

Table 2. Factor loadings for the revised competence and growth work values measure

Factor loading

1 Utilizes my skills and abilitiesa .84

2 Encourages continued development of knowledge and skillsb .77

3 Is intellectually stimulatingb .68

4 Allows me to apply my education and work experiencea .65

5 Provides a feeling of accomplishmentb .62

6 Requires originality and creativenessb .56

Note. aItem created for the current study.bOriginal item from Manhardt (1972) and included in the Meyer et al. (1998) scale.

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than a job that is a good fit for the employee. Indeed, Maynard et al. (2006) found a

significant, positive correlation between perceived overqualification and perceived pay

level relative to one’s peers (r = .20). Therefore, in testing the influence of perceived

overqualification on job search and turnover, it is important to account for the possibilitythat it is the low pay associated with overqualification that drives such withdrawal

behaviours. Perceived underpayment was measured with a single yes/no item (i.e., ‘Do

you feel that you are being paid less in your current job than others who have a similar

education background [similar degree and major]?’). A slight majority of our sample

(53.8%) responded affirmatively.

We also controlled for respondent age, as age is typically found to be positively

associated with job attitudes (Ng & Feldman, 2010), overqualification is a noted problem

among recent college graduates (e.g., Feldman& Turnley, 1995), and the age–satisfactionrelationship may reflect an increase in P-J fit over a person’s career (White & Spector,

1987). Respondents indicated their age based on 5-year ranges that were provided (e.g.,

20–24, 25–29). Finally, while past research has not found a consistent relationship

between perceived overqualification and gender (e.g., Feldman et al., 2002; Maynard

et al., 2006), we included gender as a control due to its significant relationship with

both perceived overqualification (r = �.16) and competence and growth value (r = .12)

in the current data set.

Time 2 measures

Active job search behaviour

We assessed this construct with Blau’s (1994) 6-item measure. Respondents indicated

how frequently in the past 6 months they have engaged in various job search activities

(e.g., completing an application, sending a r�esum�e topotential employers). The responses

on the scale ranged from 1 (never) to 5 (very frequently, 10+ times).

Perceived overqualification

Participants reported their perceptions of overqualification as they did in Time 1.

Turnover measures

To assess whether participants had chosen to leave their initial job for another, we first

asked whether they still held the job they held at Time 1. Eighty-one (22%) indicated that

they had left both the job and organization. Among these respondents, we assessed how

voluntary the turnoverwaswith ameasure developed by Campion (1991; a = .86). Those

who scored above the mid-point of the scale were categorized as having voluntarily lefttheir job and organization (n = 53). This represents a voluntary turnover rate of 14.4%,

similar to past research (e.g., Lee, Mitchell, Sablynski, Burton, & Holtom, 2004).

Results

Table 3 presents means, standard deviations, intercorrelations, and coefficient alphas forthe study variables. Perceptions of overqualification were associated with lower job

satisfaction, lower affective commitment, as well as a greater rate of voluntary turnover

behaviour 6 months later at Time 2. For those employees who were in the same position

444 Douglas C. Maynard and Natalya M. Parfyonova

Page 11: Examining the roles of job attitudes and work values

Table

3.Descriptive

statistics

andzero-ordercorrelations

Variable

NM

SD

Time1variables

Time2variables

12

34

56

78

910

Time1variables

1.Gender(0

=male,1

=female)

490

––

–2.Age

489

4.00

1.77

12

–3.Underpayment(0

=no;1

=yes)

494

––

�1�4

–4.Perceivedoverqualification

494

3.80

1.65

�16

�17

14

(93)

5.Competence

&growth

value

494

4.40

0.54

12

8�4

�14

(83)

6.Jobsatisfaction

494

41.64

12.37

713

�23

�47

1(92)

7.Affectivecommitment

494

3.34

0.92

45

�14

�36

765

(85)

Time2variables

8.Perceivedoverqualificationa

342

3.67

1.64

�21

�17

14

80

�17

�33

�33

(93)

9.Activejobsearch

behavioura

343

1.60

0.91

3�2

08

25

10

�36

�32

24

(93)

10.V

oluntary

turnover(0

=no,1

=yes)

368

––

0�2

08

17

6�3

1�1

83

35

Note.

Decimalshavebeenleftoffforeaseofreading;coefficients

inbold

aresignificantat

p<.05.Coefficientalphavaluesarepresentedonthediagonalin

parenthesesformulti-item

measures.

aCoefficientsbetw

eenTime1variablesandthisvariableincluderespondentsinallturnovercategories.

Overqualification and turnover 445

Page 12: Examining the roles of job attitudes and work values

at both Time 1 and Time 2 (n = 287), perceived overqualification at Time 1was positively

associated with active job search behaviour 6 months later (r = .29, p < .001). As in past

research, perceived underpayment was positively, although only weakly, related to

perceived overqualification (r = .14, p < .01).

Perceived overqualification, job attitudes, work values, and job search

We tested our moderated mediation model using the PROCESS macro for SPSS (Hayes,

2012). This macro allows for simultaneous testing of entire models that combine

mediation and moderation to explore the conditional nature of indirect effects, as is now

recommended by methodologists (e.g., Edwards & Lambert, 2007; Preacher, Rucker, &

Hayes, 2007). Participant age, gender, and perceived underpayment were included ascontrols for the entire model.

This approach also incorporates bootstrapping techniques for estimating indirect

effects, currently preferred over the causal steps and Sobel test strategies (Baron&Kenny,

1986), which suffer from several problems including low statistical power (Hayes, 2009;

Preacher & Hayes, 2008). Bootstrapping involves empirically simulating the sampling

distribution by repeatedly sampling (with replacement) from the sample itself and

calculating the statistic of interest (Efron&Tibshirani, 1993). A 95% confidence interval is

then created by ordering the resampled statistics and finding the cases that represent the2.5 and 97.5 percentile to serve as the lower and upper bounds of the interval (see

Preacher & Hayes, 2008). Accordingly, indirect effects were modelled using bootstrap-

ping with 5,000 resamplings to generate 95% bias-corrected confidence intervals of the

direct and indirect effects of overqualification (Time 1) on active job search behaviour

(Time 2) for individuals in the same jobs at both time points. Figure 2 displays a path

diagram of the results with standardized coefficients.

Total effect of perceived overqualification on job search

In Hypothesis 1a, we argued for a positive total effect of perceived overqualification at

Time 1 upon active job search 6 months later at Time 2, and such an effect did exist

Perceived Overqualification

Affective Commitment

–.37***

.16*

–.21**

–.31***–.12

Job Satisfaction

Competence and Growth

–.12*

–.09

Active Job Search Behaviour

.13*

Figure 2. Standardized path coefficients for the direct and indirect effects of perceived overqualification

(Time 1) upon active job search behaviour (Time 2) through job attitudes andmoderated by competence

and growth (n = 268). Participant age, gender, and perceived underpayment are included as control

variables. †p < .10; *p < .05; **p < .01; ***p < .001.

446 Douglas C. Maynard and Natalya M. Parfyonova

Page 13: Examining the roles of job attitudes and work values

(b = .27,p < .001). Therefore,Hypothesis 1a is supported.Over half of this effect is direct

(b = .16, p < .01), suggesting partial rather than full mediation.

Indirect effects via job attitudes

In Hypothesis 1b, we predicted that job satisfaction and affective commitment would

each mediate the relationship between perceived overqualification and job search

behaviour. This is represented in Figure 2 as the two indirect paths from perceived

overqualification to job search leading through each job attitude. For job satisfaction, the

95% confidence interval for the overall indirect effect of overqualification on job search

through job satisfaction (b = .08) did not include zero (.0142 to .1873), suggesting a

significant indirect effect. However, a similar 95% confidence interval for the overallindirect effect of affective commitment (b = .04) did just include zero (�.0026 to .0986),

suggesting a non-significant indirect effect. Therefore, Hypothesis 1b was partially

supported.

The moderating effect of competence and growth value

Hypothesis 1c stated that the link between perceived overqualification and both job

attitudes and job search would be stronger for employees with a greater preference forwork that utilizes their talents. This is represented in Figure 2 by the path coefficients

leading from the competence and growth value to the direct effects of perceived

overqualification. As can be seen, the competence and growth value significantly

moderated the effect of perceived overqualification on affective commitment and active

job search behaviour, but not job satisfaction. Therefore, Hypothesis 1c was partially

supported. We now explore the two significant interactions in turn.

The interaction between perceived overqualification and competence and growth

value upon affective commitment is shown in Figure 3. As can be seen, the overqual-ification–commitment relationship was negative at both low and high levels of

competence and growth value. However, the relationship was stronger for employees

with a high preference for work that provides opportunities for competence and growth

(b = �.20) than for those with a relatively low preference for such work (b = �.08).

Figure 4 displays themoderating effect of competence and growth value on the direct

effect of perceived overqualification upon active job search behaviour. At low levels of

competence and growth, the direct effect was not significant (b = .05, p < .05).

However, perceived overqualification was significantly related to job search for thosewith average and high scores on competence and growth value (b = .13 and .21,

respectively, both p < .001).

Perceived overqualification and voluntary turnover

To examine the proposed link between perceived overqualification at Time 1 and

voluntary turnover behaviour at Time 2 (Hypothesis 2), we conducted a hierarchical

logistic regression with turnover status (0 = did not voluntarily leave the organization,1 = voluntarily left the organization) as the dependent variable. Results indicated that

perceptions of overqualification at Time 1 predicted turnover status 6 months later after

controlling for age, gender, and perceived underpayment (likelihood ratio test v2

(1) = 5.09,p < .05). The odds ratio for this effectwas 1.24, indicating that the odds that an

employee would voluntarily leave the organization increased by 24% for every 1 point

Overqualification and turnover 447

Page 14: Examining the roles of job attitudes and work values

1

1.25

1.5

1.75

2

2.25

2.5

HighLow

Act

ive

Job

Sear

ch B

ehav

iour

Perceived Overqualification

LowHigh

Competence and Growth

Figure 4. Competence and growth value as a moderator of the relationship between perceived

overqualification (Time 1) and active job search behaviour (Time 2). ‘Low’ and ‘High’ refer to 1 standard

deviation below and above the mean, respectively.

2

2.5

3

3.5

4

4.5

HighLow

Aff

ecti

ve C

omm

itm

ent

Perceived Overqualification

LowHigh

Competence and Growth

Figure 3. Competence and growth value as a moderator of the relationship between perceived

overqualification and affective commitment. ‘Low’ and ‘High’ refer to 1 standard deviation below and

above the mean, respectively.

448 Douglas C. Maynard and Natalya M. Parfyonova

Page 15: Examining the roles of job attitudes and work values

increase in perceived overqualification (on a 7-point scale) 6 months earlier. Over one

quarter (20 of 75, or 26.7%) of individuals reporting high levels of overqualification at

Time 1 (more than one SD above themean) had voluntarily turned over 6 months later, as

compared to only 5.6% (four of 71) of individuals reporting low levels of overqualification(more than one SD below the mean). Therefore, Hypothesis 2 was supported.

Change in perceived overqualification after job change

Finally, inHypothesis 3,we argued that thosewho voluntarily left their jobs betweenTime

1 and Time 2 would report lower levels of perceived overqualification on their new job.

Consistent with this hypothesis, voluntary leavers reported less overqualification in their

new jobs (M = 3.78, SD = 1.52) than their previous ones (M = 4.39, SD = 1.70), t(46) = 2.50, p < .05, d = .37. A similar analysis of those who remained in their jobs

revealedno significant difference, t (268) = �0.36,p > .05.Nearly half (48%) of voluntary

leavers had a drop in perceived overqualification of at least a half point after the job change

(vs. 26% for those who did not leave the organization).

Discussion

The current longitudinal study added to the limited overqualification literature by

exploring (a) how work values moderate the association between perceived overqual-

ification and active job search behaviour and (b) the link between perceived overqual-

ification and voluntary turnover. This study is also the first in the overqualification

literature to control for perceived underpayment, which allowed us to disentangle any

effect of insufficient pay from the impact of underutilization itself.

Consistent with past research, perceived overqualification was associated with lowerjob satisfaction and affective commitment. Overqualification at Time 1was also predictive

of futurewithdrawal behaviours. Employees who perceived themselves as having surplus

education, experience, and KSAOs for their jobs were more likely to search for a job

6 months later, and this relationship was partially mediated by job satisfaction. Using

logistic regression, we also found that the rates of voluntary turnover were significantly

higher among those who had reported feeling overqualified 6 months earlier. We also

found that those who did leave their original job felt less overqualified in their new

positions.This research represents the first known attempt to examine individual differences as

moderators of responses to overqualification. We found that the relationship between

perceived overqualification and job search was stronger for those who strongly valued

competence and growth at work. Specifically, among overqualified employees, those

who valued skill utilization felt less emotionally connected to the organization and were

more apt to be searching for alternative employment 6 months later. These findings

suggest that a poor match between employee characteristics and job demands seems to

trigger job search and turnover, but one’s desire for P-J fit can affect the strength of theserelationships.

Implications for future research and practice

Given the current findings, research should investigate how other personal values

(Schwartz, 1992), personality traits (Feldman, 2011), or self-assessments (Maynard, 2011)

Overqualification and turnover 449

Page 16: Examining the roles of job attitudes and work values

may influence the relationship between overqualification and active job search

behaviour. For example, overqualified employees with higher core self-evaluations

(CSEs) may be more likely to actively search for alternative job opportunities than those

with lower core self-evaluations due to their greater sense of agency and confidence insuccessfully securing an employment offer.

Supervisors concerned about losing talented employees first have to identify those

who feel overqualified and strongly desire work that utilizes their education and KSAOs.

As supervisors may not hold the same perceptions regarding subordinate overqualifica-

tion as the subordinates themselves, theymay not even be awarewhen aworker feels that

their skills are not being well utilized. Given past findings, expressions of boredom (Watt

& Hargis, 2010), dissatisfaction, or detachment might hint at feelings of underutilization.

Supervisors might handle perceived overqualification in several ways, including usingempowerment (Erdogan & Bauer, 2009) and idiosyncratic deals (‘i-deals’; Hornung,

Rousseau, Glaser, Angerer, & Weigl, 2010) to allow the employee to take on more

challenging tasks or projects. Employers can also be proactive in ensuring that new

entrants to the organization do not hold unrealistic expectations through the use of

realistic job previews (RJPs) or expectation-lowering procedures (ELPs; Buckley et al.,

2002). Empirical investigations of the efficacy of these strategies in the context of

perceived overqualification are lacking and sorely needed.

Study limitations

Wefinish by noting several limitations and suggestions for future research thatwould help

supplement the findings of the current study. First, any single study is limited to the

economic conditions at the time of data collection. This is particularly important to bear in

mind when studying overqualification and turnover, because overqualification rates

appear to fluctuate with the unemployment rate (Vaisey, 2006), and perceived job

alternatives are likely to affect turnover intentions and decisions (Maertz & Campion,2004). As mentioned, data from the current study were collected at a time when

unemployment was relatively low. Presumably, in such a labour market, highly educated

employees feel relatively good about their chances of obtaining alternative employment

and see the value in expending effort to find a better job. Data collected during tight

economic times might reveal that relationships between overqualification and voluntary

turnover are weaker or even absent (Erdogan & Bauer, 2011).

The findings regarding the competence and growth work value were relatively

modest. Thismay be partially attributable to the sample (i.e., college alumniwith at least abachelor’s degree), as college graduates may hold high expectations for skill utilization.

Indeed, scores on our measure suggested a ceiling effect (M = 4.37 on a 5 point scale,

SD = 0.53), which reduces variability and limits its predictive value. Stronger effects may

be found in samples that include employees at all levels of education, and alternative

measurement methods (e.g., ranking this value relative to other values) may better

discriminate between those with a high versus a very high desire for skill utilization.

Finally, the finding that those who voluntarily left their original positions reported

significantly lower overqualification in their new positions could be interpreted multipleways. While employees’ new jobs may indeed better utilize their education and talents,

the investment of effort in securing new employment (perhaps involving a change of

residence) may produce a need to psychologically enhance one’s view of the new job. In

other words, discovering that one’s new job is no better than the old one is likely to

produce feelings of cognitive dissonance (Festinger, 1957), and convincing oneself of the

450 Douglas C. Maynard and Natalya M. Parfyonova

Page 17: Examining the roles of job attitudes and work values

benefits of the new job helps relieve this dissonance. Future research could help separate

out these two possibilities by simultaneously assessing both objective and subjective

overqualification of employees before and after voluntary turnover.

Acknowledgements

This research was supported in part by a grant from Psi Chi, the International Honor

Society in Psychology. The authors also wish to thank Rachel Fetters, Joelee Motichka,

Christina Norman, Leigh Rokitowski, and Erica Simon for their assistance with this

research, and Daniel C. Feldman for his valuable feedback during several phases of thisproject. We thank an anonymous reviewer for suggesting the inclusion of perceived

underpayment as a control variable.

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Received 3 July 2012; revised version received 14 January 2013

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