Motivational effects of pay dispersion in pay for performance programs implemented in Romanian companies

Urieși, Sebastian

doi:10.1515/mmcks-2016-0007

Cited by 5 publications

(15 citation statements)

References 46 publications

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“…It has always been an important practical and theoretical issue capturing widespread social concern and interest from practitioners and scholars on what kind of pay dispersion tends to encourage employees to behave or perform to their organizations’ expectations. The extant research has already yielded some significant insights about the relationship between pay dispersion and employee outcome performance ( Becker and Huselid, 1992 ; Bloom, 1999 ; Aime et al, 2010 ; Uriesi, 2016 ). However, regarding many organizational practitioners’ main concern that whether pay dispersion among team members (i.e., horizontal pay dispersion within a team, HPD within a team) could help organizations achieve employee behavioral performance such as team member work role performance in the current uncertain, complex, and interdependent work systems, almost no effort and little attention has been directly dedicated to it.…”

Section: Introductionmentioning

confidence: 99%

Team Member Work Role Performance: The Organizational Benefits From Performance-Based Horizontal Pay Dispersion and Workplace Benign Envy

2020

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In the context of the current uncertain, complex, and interdependent work systems, teams have become organizations’ substantial working unit, which in turn challenges the traditional view of employee performance and ultimately results in the emergence of team member work role performance. Employee team-oriented work role behaviors with proficiency, adaptivity, and proactivity, which are integrated by the new construct, are so crucial to team effectiveness that many organizations keenly expect to achieve team member work role performance through implementing a dispersed pay-for-performance plan within a team. This study seeks to address the organizational practitioners’ main concern that whether pay dispersion among team members (i.e., horizontal pay dispersion, HPD) could actually help realize team member work role performance and further examines why and when an employee could respond to HPD within a team by engaging in team member work role behaviors from the perspective of the performance-shaping basis and team member’s workplace benign envy. Drawing on emotion-related theory, social comparison theory, legitimacy theory, expectation theory, and relative deprivation theory, it proposes that performance-based HPD could not only positively impact team member work role performance via workplace benign envy but also exert a direct-positive effect. Moreover, the activating effect of performance-based HPD on workplace benign envy and the mediating role are much stronger when a team member’s pay position is higher. The multi-source data including objective information and subjective perception among 362 ordinary employees within 66 Chinese organizational teams primarily supported the moderated mediation model. Yet, the direct-positive effect was not established.

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Section: Introductionmentioning

confidence: 99%

Team Member Work Role Performance: The Organizational Benefits From Performance-Based Horizontal Pay Dispersion and Workplace Benign Envy

2020

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“…For example, many organizations that operate in domestic, stable and less competition marketplace typically offer a traditional job-based pay, that is monetary and nonmonetary payments are determined to employees based on tenure, seniority, length of service and job categories (Azman et al, 2014;Uieşi, S., 2016). When domestic and small-medium organizations have succeeded in their businesses, they have implemented structural and attitudinal transformations to become global and international organizations.…”

Section: Introductionmentioning

confidence: 99%

“…and Gerhart, B. (Milkovich et al, 2013;Uieşi, S., 2016) the main advantage of implementing the pay systems will strongly attract, retain and motivate competent employees to maintain and enhance their organizational competitiveness and performance in an era of global economy (Gerhart et al, 2009;Danish et al, 2010). …”

Section: Introductionmentioning

confidence: 99%

“…An analysis of the present literature relating to excellent organizations shows that how well PPSM is planned it will not be able to support its goals if management does not encourage employee participation in the pay systems Uieşi, S, 2016). In a PPSM literature, participation in PPSM is generally practised in the two major forms: participation in pay plans (PPP) and participation in pay operations (PPO) Salim et al, 2016).…”

Section: Introductionmentioning

confidence: 99%

“…For example, the competency of management to allow employees to participate in planning and operating PPSM may lead to higher employees' satisfaction with intrinsic and extrinsic job conditions (Francis et al, 2011;Milkovich et al, 2013). Even though this relationship has been widely investigated, the role of PPSM as an important predicting variable is ignored in the workplace compensation model Uieşi, S., 2016). Many scholars dispute that this situation is due to several factors.…”

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

Effect of Participation in Performance Pay Systems and Employees’ Satisfaction with Job Conditions

Ismail

Anuar

2017

j. terap. manaj. n.a

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The aim of this research is to evaluate the association between participation in performance pay systems and employees' satisfaction with job conditions. A survey method was utilized to collect data from subordinates who serve at disaster management agencies in West Malaysia. The findings of SmartPLS path model analysis display four important outcomes: first, the relationship between participation in pay plans and satisfaction with intrinsic job conditions was not significant. Second, relationship between participation in pay operations and satisfaction with intrinsic job conditions was not significant. Third, the relationship between participation in pay plans and satisfaction with extrinsic job conditions was significance. Finally, the relationship between participation in pay operations and satisfaction with extrinsic job conditions was significance. This finding demonstrates that participation in pay plans and participation in pay operations do not act as important predictors of employees' satisfaction with intrinsic job conditions. Conversely, participation in pay plans and participation in pay operations do act as important predictors of employees' satisfaction with extrinsic job conditions. Further, this research delivers discussion, implications and conclusion.

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Comparisons of the effects of individual and collective performance-related pay on performance: A review

Wood,

Leoni,

Ladley

2023

Human Resource Management Review

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Motivational effects of pay dispersion in pay for performance programs implemented in Romanian companies

Cited by 5 publications

References 46 publications

Team Member Work Role Performance: The Organizational Benefits From Performance-Based Horizontal Pay Dispersion and Workplace Benign Envy

Team Member Work Role Performance: The Organizational Benefits From Performance-Based Horizontal Pay Dispersion and Workplace Benign Envy

Effect of Participation in Performance Pay Systems and Employees’ Satisfaction with Job Conditions

Comparisons of the effects of individual and collective performance-related pay on performance: A review

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