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Second-Class Citizens or Free Agents? Social Construction of Equity Perceptions of Contractors in Global Offshoring Arrangements

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  • Gibbs, Jennifer L.
  • Eisenberg, Julia
  • Nekrassova, Dina

Abstract

This study examines the ways in which perceptions of equity are socially constructed among contractors involved in global offshoring arrangements. A comparative case study of two global software organizations involved in offshore outsourcing reveals that global contractors across sites constructed different equity perceptions of similar foreign assignments due to a number of contextual factors. These contextual differences combined to produce social comparison processes that led to the construction of different equity perceptions. Drawing on a perceptual model of equity theory, we find that global contractors from one case felt stigmatized and treated inequitably as “second-class citizens”, while those from the other case felt empowered as “free agents.” Our findings contribute a context-sensitive explanation for the construction of different equity perceptions in global offshoring arrangements, with implications for global work design more broadly.

Suggested Citation

  • Gibbs, Jennifer L. & Eisenberg, Julia & Nekrassova, Dina, 2023. "Second-Class Citizens or Free Agents? Social Construction of Equity Perceptions of Contractors in Global Offshoring Arrangements," Journal of International Management, Elsevier, vol. 29(6).
    • Handle: RePEc:eee:intman:v:29:y:2023:i:6:s1075425323000893
    DOI: 10.1016/j.intman.2023.101092
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