Social Capital in the Workplace

The term workplace social capital refers to patterns of friendship and interpersonal support, norms of trust and reciprocity, and acts of civic engagement (all of which are forms of social capital, an intangible analogue to economic capital) that occur on the job or as a result of one's employment. Some manifestations of workplace social capital include having regular conversations around the water cooler, organizing forums on political issues at the job site, staying late to help a coworker, and tutoring kids through an office-based volunteer program.

Although social capital is built in many places, the workplace has become an increasingly important locus for three reasons. First, more and more people are joining the labor force, thereby reducing the pool of people available to build social capital outside the office or factory walls. Second, the workplace has grown in importance because other places where social capital is built have been in decline. Since the 1950s, neighborhoods have become more spread out and less tight-knit; more people have ended up living alone; and Americans have reduced their participation in voluntary associations. As traditional forms of interpersonal engagement have ebbed, people have sought social and civic engagement at work. Third, the workplace has grown in importance in part because employers, sometimes responding to employee demands, have instituted policies that build social capital as a by-product of making the firm more competitive. For example, many companies have instituted management structures and benefits that provide employees with opportunities to build relationships on the job through team-based work tasks. In addition, many companies have offered flexible work arrangements that allow parents to volunteer at their children's school, for example. However, changing patterns of employment—such as frequent downsizing and increased use of contract workers—threaten to undermine the trust and sense of belonging that accrues on the job.