The present research aimed to investigate the effect of managerial explanation on fairness perception and its boundary conditions. The author defined the explanation effect as the influences of managerial explanations (reframe, mitigation, and inspiration) on fairness and examined both the direct effect and the moderating variables such as subjective uncertainty, social inclusion, and sensitivity to fairness. A survey of employees was conducted (N=483) to test those effects in organizational change implementation. The results of hierarchical regression analysis are summarized as follows. First, providing reframe and inspiration explanation significantly increased change fairness perception, but mitigation decreased. Second, the effect of explanation significantly differed across some conditions, such that (a) providing reframe was more influential to fairness perceptions of those who felt more uncertain, (b) providing mitigation was more influential to fairness perceptions of those who were less sensitive to fairness, and (c) providing inspiration was more influential to fairness perceptions of those who perceived more included. Further, the authors integrated the present findings, discussed the theoretical implications and limitations, and suggested for future research.
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