The Asian Financial Crisis and Human Resource Management in Thailand : The Impact on Equity Perceptions

Thailand was the first country to suffer from the recent Asian financial crisis. The crisis had adverse impacts on all ranges of workforce in the country. This article reports an in-depth case study of a U.S. electronics company operating in Thailand. The study consisted of interviews and two surveys. The first survey was carried out in 1996 and the second in 1999, two years after the crisis started. Drawing on equity theory, this article discusses the effects of equity perceptions on pay and job satisfactions, job and organizational involvements, and voluntary turnover during this turbulent period. The findings generally supported the arguments of the theory.