Procedural justice affects the idea of fairness and equity across the organisation. An important HR challenge for organisations is to ensure that there is equity among all the ranks of employees, not taking into consideration their cultural background, relevant experience or their worth to the business. Here, the concept of procedural justice is utilised for allocation of resources and for resolving disputes. It is also related to legal proceedings and administration of justice in case of conflicts.
Procedural justice pertains to making decisions and establishment of policies in the organisation. It ensures that the most respectful and fair decision is made, regardless of the situation. If a policy is being chalked out for a business division, it needs to apply to all working employees in that division. Likewise, if there are modifications or revisions made to a policy, it cannot be altered differently for different people. Otherwise, procedural justice will not be implemented fairly. It must also be mentioned that if there arises a situation wherein a conflict cannot be resolved by the concerned parties and a ruling has to be given by the supervisor or leader, the decisions have to be neutral and based on fact rather than being subjective and clouded by personal bias of any kind.
Implementing procedural justice is beneficial to the organisation in more than one way. If the employees have good faith in policy making and conflict resolution mechanism of the employer, they are more motivated to remain committed to the organisation. However, it also puts pressure on companies to create such policies which clearly demonstrate procedural justice. This implies that company’s response will be consistent, regardless of position, age, education, training or gender of person. For example, if a company has a strict policy against repeated defaulters who report to work late, every person, be it manager or an executive have to be subjected to the same penalty.