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Remuneration discrepancies in the landlocked economies of Malaŵi and Uganda
Author(s) -
Munthali Alister,
Matagi Leon,
Tumwebaze Callist
Publication year - 2010
Publication title -
international journal of psychology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.75
H-Index - 62
eISSN - 1464-066X
pISSN - 0020-7594
DOI - 10.1080/00207594.2010.492157
Subject(s) - remuneration , expatriate , landlocked country , purchasing power parity , business , purchasing power , demographic economics , economic growth , economics , political science , finance , exchange rate , keynesian economics , law
Although the original study of remuneration differences between local and expatriate development workers took place in the landlocked economy of Malaŵi, the study has never been replicated outside of one sector and organization (the National University), and took place prior to the 2000 Millennium Development Goals. Participating in the present studies were 458 aid and development professionals, working across a range of sectors in Malaŵi ( n = 241, response rate = 50%) and Uganda ( n = 217, response rate = 51%). The size of the gap between local and international workers, measured using the World Bank's purchasing power parity, was higher in Malaŵi (4.04:1) than in Uganda (1.97:1). The ratio was more clearly within tolerance levels in Uganda than in Malaŵi. Consistent with these differences, and controlling for organization, cultural, and demographic factors, locally remunerated workers reported more and expatriate workers less injustice and demotivation in Malaŵi than in Uganda. Although sample sizes for the internationally remunerated are small, the findings suggest that wider disparities may (1) hinder perspective‐taking and (2) decrease motivation. In‐country workshops with stakeholders and subject‐matter experts considered the findings, and potential solutions offered through the survey form. They recommended the implementation of performance‐based remuneration, including competency‐based job analysis and evaluation. Competencies in such functions can be provided by humanitarian work psychology.