Is It Good to Talk? Information Disclosure and Organizational Performance in the UK

The disclosure of information by management to employees varies significantly between workplaces. The effects of this variance on organizational performance are analysed using WERS98 data. The results show that the impact of information disclosure on organizational performance is more complex than is often assumed in the literature. Overall, there is a significant impact, both direct and indirect, and this varies depending on the level of employee organizational commitment, the type of information disclosed and the performance outcome involved. On the whole, the positive effects are less in union settings and in situations where unions are strong. Copyright Blackwell Publishing Ltd/London School of Economics 2005.