Workplace variation in migrant job searches: cohesion unites, bonuses do not divide

Abstract Dutch workplaces suffer from labor shortages and interest in diverse workforces is growing, making the retention of employees with a migration background vital. Yet, migrant employees continue to experience exclusion in the workplace, making them more prone to search for different jobs than non-migrant employees. This article is novel as it locates drivers of migrant job searches at the organizational level and examines the impact of indicators of relative distances between groups within organizations. First it assesses whether workplace cohesion mitigates differences between migrant and non-migrant employees, as cohesion may reduce intergroup distances through positive inter-ethnic contact. Second, it is examined whether workplaces that divide resources through bonus payment systems have lager job search disparities, as in such workplaces individual performance based incentives may reinforce intergroup conflict. Using unique employer-employee linked data from the Netherlands, this research finds that migrants search for jobs more often than non-migrants, that being part of cohesive workplaces as a migrant mitigates this gap and that the prevalence of bonus payment systems has no effect. To retain migrant employees and to improve the diversity of workforces, organizations should invest in increasing workplace cohesion. Further implications for theory, research and practice are discussed.