ADM 2337 Lecture Notes - Lecture 9: Equity Theory, Expectancy Theory, Market Basket

• School: University of Ottawa
• Department: Administration
• Course: ADM 2337
• Professor: Catherine Elliott

Document Summary

It is the compensaion of employees in ways that enhance moivaion and growth while at the same ime aligning their eforts with the objecives, philosophies, and culture of the organizaion. Strategic compensaion planning serves to mesh the monetary payments made to employees with speciic funcions of the hr programs. The linkage of pay levels to labour markets is a strategic policy issue because it serves to atract or retain valued employees while afecing the organizaion"s relaive payroll budget. The inancial crisis of 2007-2010 changed the landscape for compensaion. Now companies are more heavily scruinized by shareholders, government, and the public for how much they pay their people. Due to complaints of bloated federal government salaries, exorbitant wall street banker bonuses, and generous autoworker beneits, managers are trying to ensure that their compensaion plans are in strict alignment with the organizaion"s objecive.