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This study aims to determine the effect of individual and group variable pay plans on pay satisfaction among Canadian workers from six occupational groups.

Theoretical foundations rest on the discrepancy model of pay satisfaction and equity theory. Canadian national data from the Workplace and Employee Survey (WES) were used to test the hypotheses.

The results show that individual and group variable pay plans act differently on workers’ pay satisfaction. For individual pay plans, being eligible for a variable pay plan, and thereby having one's performance rewarded, has no effect on pay satisfaction. Workers on variable pay plans are more satisfied with their pay only when they receive performance‐dependent payouts. In short, they want to be rewarded not only for performance but also for effort. For group pay plans, not receiving payouts has no negative effect on pay satisfaction. In contrast, receiving payouts creates pay dissatisfaction. Individual and group plans have a distinct effect on pay satisfaction by occupational group.

Managers can make informed decisions regarding the adoption of variable pay plans and their implementation.

This study sheds light on the link between variable pay and pay satisfaction. It improves our understanding of the mechanism by which variable pay affects pay satisfaction: the effort – performance – pay link (i.e. risk and perceived fairness of the allocation).

This study examined a mediating model of income and pay satisfaction with a direct path (income → pay satisfaction) and an indirect path with two mediators (income → the love of money → pay equity comparison → pay satisfaction). Results of the whole sample showed that the indirect path was significant and the direct path was insignificant. When the indirect path was eliminated, income contributed positively to pay satisfaction. We then tested the model across two moderators: culture (the United States versus Spain) and gender. This study provides the following theoretical and empirical contributions: the direct relationship between income and pay satisfaction depends on the indirect path and the extent to which (1) income enhances the love of money and (2) the love of money is applied to evaluate pay equity comparison satisfaction. If both conditions exist, income leads to pay dissatisfaction. If the second condition does not exist, income does not lead to pay dissatisfaction. Pay satisfaction depends on (1) one’s love of money and (2) how one compares. The role of the love of money in pay satisfaction is “not”universal across cultures and gender.

The purpose of this paper is to examine the relations of job insecurity with pay and incentive satisfaction and the role of overall justice in these relationships.

The authors surveyed employees of an industrial equipment sales firm located in the Southeastern USA. Surveys were completed by 151 employees using instruments assessing job insecurity, overall justice, pay satisfaction, and incentive satisfaction.

The study results indicated job insecurity is negatively related to both pay and incentive satisfaction. Further, the study found that overall justice mediated the job insecurity to pay satisfaction relationship, but not the job insecurity to incentive satisfaction relationship.

Because overall justice only explained the job insecurity-pay satisfaction relationship, future research should examine other potential mediators to better understand these disparate effects when compared with incentive satisfaction. Future research should also examine the model with a larger sample using a time-lagged design to further mitigate the limitations of the study.

The results of this study suggest that employees who contain a strong fear of job loss tend to experience reduced pay and incentive satisfaction levels. Managers should do what they can to limit the impact of job insecurity on these attitudes and provide additional training to employees in coping strategies so that they might better deal with the job insecurity stressor.

Integrating the literatures on stress appraisal and organizational justice, the empirical model provides understanding of how job stressors and perceptions of organizational justice influence pay and incentive satisfaction.

The purpose of this study is to examine within college coaches the effects of pay satisfaction and work‐family conflict (WFC) on occupational turnover intentions. Specifically, it predicts that WFC would mediate the relationship between satisfaction with pay to occupational turnover intentions.

Data were collected through a mailed questionnaire of college coaches. Regression analysis was used to test the mediated relationship.

Results confirmed a significant relationship between all variables in the study (p<0.001 for all). Using regression, when pay satisfaction and WFC were used to predict occupational turnover intentions, the mediator, WFC (β=0.29, p<0.001), maintained its effect on turnover. However, satisfaction with pay was insignificant, suggesting the mediated relationship.

While several areas within sport are impacted by dissatisfaction with pay and WFC, this sample was limited to college coaches.

Managers need to be aware of the impact of pay satisfaction and WFC have on turnover intentions, especially because of the importance turnover has on team performance. It is suggested that while pay satisfaction has a direct effect on occupational turnover intentions, WFC is one significant process through which pay satisfaction acts on an individual's intention to withdraw from the coaching occupation. It may also suggest that coaches not satisfied with pay are more aware of the conflict between work and family.

Anecdotal evidence suggests that pay satisfaction with pay and WFC are significant reasons teams lose coaches or front office personnel; however, no work has been done relating these variables and turnover.

The purpose of this paper is to compare the relative importance or effects of individual equity, external equity, internal equity, procedural justice, and informational justice on pay level satisfaction.

The paper uses a policy‐capturing methodology to determine the importance of the five factors and considers both group analyses and individual analyses of the data.

Of the three types of equity, individual equity was the most important factor on pay level satisfaction. External equity and the three other factors were important for many individuals, and this was shown through the individual analyses.

The number of scenarios given to each participant was limited due to possible fatigue.

The findings will help managers make judgments on how to respond to conflicts between internal alignment and external market conditions. Knowledge of which factors are most important will help managers create more effective compensation programs.

This is the first multi‐justice study to find the relative effects of justice perceptions on pay level satisfaction, and it includes informational justice.

The purpose of this paper is to examine the relationships between pay satisfaction, global job satisfaction, loyalty and organizational citizenship behaviors (OCBs) – as they all pertain to contingent workers. The proposed model suggests, due to the nature of contingent work, pay satisfaction will influence the above variables. Additionally, this study aims to explore the relationship between pay satisfaction and OCB directed toward an individual employee.

This study used a cross-sectional research design, administering a web-based survey to the participants (n=117) for data collection. Hierarchical regression, correlation and relative importance analyses were used for hypothesis testing.

The results suggest pay satisfaction of contingent workers is positively related to global job satisfaction, loyalty to a hiring agency, loyalty to a client company and OCB directed toward a client organization.

The primary contribution of the current study was the assessment of extrinsic rewards and their relationship to job satisfaction, loyalty and OCBs among contingent workers. This appears to be the first study to assess the relationship between pay satisfaction and loyalty, along with OCBs of contingent workers. The findings establish the importance of pay when loyalty to both staffing agency and client company is considered.

Employee dissatisfaction with merit pay is a long‐standing problem. This study introduces four explanatory constructs, based on decisional and interactional fairness notions, that describe how supervisors implement merit pay and predict merit pay satisfaction. Multigroup confirmatory factor analyses, applied to a sample of American employees (N = 415) and a sample of Venezuelan employees (N = 239), show that the five constructs introduced here are distinct from each other and that their measures generalize across countries (cultures and languages).

The study examines the relationship between perceived unfair pay and job satisfaction and how this relationship is contingent on organizational hierarchical rank.

The proprietary data are from ongoing surveys of individual workers conducted by a major Polish human resource consulting firm. The pooled cross-section dataset is comprised of nearly 330,000 individuals working in the Polish labor market during 2015–2017. Drawing upon various theories, the authors formalize and test three hypotheses. The estimations are performed using the ordered probit method.

Ceteris paribus, job satisfaction is increasing with organizational hierarchical rank; perceived unfairness of pay is negatively associated with job satisfaction, and organizational hierarchical rank exacerbates this negative relationship by making it stronger for employees holding higher organizational positions.

First, prior research is mainly confined to studying pay satisfaction as a contributing factor to job satisfaction, and perceived fairness of pay was rarely considered. Second, very few studies examine the role of hierarchical level as a moderator in the relationship between organizational justice and workplace outcomes. Third, the authors add to the scarce empirical literature on job satisfaction for post-Communist Central and East European countries as only a limited number of such studies exist for Poland.

This study aims to examine the extent to which the demographic and work‐related variables of educational level, gender, age, salary level, organizational tenure, and union membership are useful predictors of satisfaction with pay level, benefits, raises, and the structure/administration of a compensation system. These variables have previously been utilized in the prediction of satisfaction with pay levels, but have not been tested as useful predictors of the other three dimensions of compensation satisfaction.

This study used multiple regression analyses and samples of 423 employees in the USA with a 63 percent response rate and 519 employees in the Baltics with a 73 percent response rate.

It was found that not all of the variables are equally useful predictors of each of the four dimensions of compensation satisfaction and that differential prediction is occurring among the four dimensions and across the two world regions. Surprisingly, it was found that in seven of the eight analyses the strongest predictor of satisfaction with the four dimensions of compensation satisfaction is job tenure, while actual compensation level, which was expected to be the strongest predictor, was found to be quite weak.

A major weakness is that all of the data were self‐reported. Ideally the demographic and work‐related variables would have been collected directly from the organization in addition to being collected from employees. A second limitation is that the characteristics of the present sample may limit the generalizability of the results. An inordinate number of the subjects were unionized, female, and married. The major implication is that the paper supports the differential prediction for various dimensions of compensation satisfaction and for the need to explore for additional variables that can account for significant proportions of the variance in these dimensions.

The paper is the first of its kind to examine in a single or cross‐cultural setting the relationship between common demographic and work‐related factors and compensation satisfaction while controlling for organizational level. The literature review traverses the research in the area stretching from the 1940s to 2005 and makes specific suggestions for future research that could advance the field.

The purpose of this article is to evaluate employee perceptions of pay practice in civil service executive agencies in the wake of changes in the established institutions of pay determination.

A survey design drawing original data from 1,057 civil servants, all members of the IPMS (now merged with EMA to form Prospectus), the union representing scientific, technical and professional occupations in the civil service.

The study distinguishes four distinctive pay practice systems. Pay satisfaction is found to be positively related to two principles: a clear effort‐reward link and an understanding of pay criteria. However, employees are more satisfied with pay when their organisational pay system accords with traditional rather than newer practices. This suggests that embedded norms continue to exert a powerful influence over employee perceptions of pay.

Whilst the respondent profile accurately reflects those working in the scientific, professional and technical grades (predominantly male, white, full‐time workers), aspects of this profile do not accurately reflect the civil service as a whole.

Old habits “die hard”. A sobering message for those practitioners who readily assume that forced change in pay systems will elicit “desired” employee responses.

Against a backdrop of fundamental changes in the character of pay determination in the civil service, this study presents employee perceptions of pay practices, shows how they combine in ways that reflect a distinct set of pay systems and reveals the impact associated with these systems on attitudes and behaviours.