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Determinants of Perceived Pay Inequities: The Effects of Comparison Other Characteristics and Pay‐System Communication 1
Author(s) -
Werner Steve,
Ones Deniz S.
Publication year - 2000
Publication title -
journal of applied social psychology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.822
H-Index - 111
eISSN - 1559-1816
pISSN - 0021-9029
DOI - 10.1111/j.1559-1816.2000.tb02521.x
Subject(s) - seniority , pay equity , distributive justice , equity (law) , social psychology , psychology , economic justice , equity theory , inequality , procedural justice , demographic economics , economics , political science , labour economics , microeconomics , perception , mathematical analysis , mathematics , neuroscience , law
Using an equity theory framework, we hypothesized that performance, seniority, and gender differences in comparison others lead to perceived pay inequities, but that this relationship is moderated by an explanation of the pay system. A policy‐capturing methodology was used. We found that performance and seniority differences are related to perceived pay inequities, but these perceived inequities were less pronounced when the pay system was explained to employees. Interestingly, we did not find any evidence of gender effects in perceived pay inequities. These results are discussed in terms of new developments in integrating procedural‐justice and distributive‐justice domains.