Predictions from equity sensitivity theory is reported by Huseman et al. were tested in a laboratory setting. As predicted, Benevolent individuals reported the highest pay satisfaction, perceived pay fairness, and lowest turnover intentions. Contrary to expectations, Entitled individuals did not report lower overall pay satisfaction, perceived pay fairness or higher turnover intentions than Equity Sensitive individuals. All three equity sensitivity groups preferred being over‐rewarded to being equitably rewarded, and were relatively distressed when under‐rewarded. The predicted interaction between equity sensitivity and reward level was not significant. Implications for the management of employees were discussed.
Emerald Group Publishing Limited
Copyright © 2004, Emerald Group Publishing Limited