Management and Organizational Studies 4485F/G Study Guide - Product Market, Independent Contractor, Job Analysis
13 Dec 2012
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Document Summary
Pay is a powerful tool for strategic goals: significant impact on employee attitudes and behaviours. Pay decisions can be broke into two areas: pay structure. The relative pay of different jobs (job structure) and how much they are paid (pay level) Consideration of pay level and job structure: pay level. The average pay, including wages, salaries, and bonuses of jobs in an organization. The relative pay of jobs within an organization. Consider pay relative to other employees: equity theory, determines fairness based on comparative pay, perceived outcomes by perceived inputs to determine fariness. External equity: comparisons focus on what employees in other organizations are paid for doing the same general job. Market play survey is primary administrative tool organizations use in choosing a pay level. Internal equity: comparison focus on what employees within the same organization, but in different jobs are paid. Affects willingness to change jobs, accept promotions, cooperate.
