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THE RELATIONSHIP BETWEEN PAY‐FOR‐PERFORMANCE PERCEPTIONS AND PAY SATISFACTION
Author(s) -
HENEMAN ROBERT L.,
GREENBERGER DAVID B.,
STRASSER STEPHEN
Publication year - 1988
Publication title -
personnel psychology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 6.076
H-Index - 142
eISSN - 1744-6570
pISSN - 0031-5826
DOI - 10.1111/j.1744-6570.1988.tb00651.x
Subject(s) - salary , psychology , job satisfaction , perception , social psychology , pay for performance , incentive , economics , microeconomics , neuroscience , market economy
A study was conducted with 104 hospital employees to assess the relationship between pay‐for‐performance perceptions and pay satisfaction. Unlike previous research examining this relationship, a multi‐item measure of pay‐for‐performance perceptions and a multidimensional measure of pay satisfaction were used. As hypothesized, the results indicated a positive relationship between pay‐for‐performance perceptions and pay‐raise satisfaction, pay‐level satisfaction, and overall pay satisfaction even after the effects of salary level, salary increases, performance ratings, job tenure, job satisfaction, and promotions were controlled. The importance of gathering perceptual data on characteristics of the pay system believed to have differential relationships with the subdimensions of pay satisfaction are discussed.