DETERMINANTS AND BEHAVIORAL CONSEQUENCES OF PAY SATISFACTION: A COMPARISON OF TWO MODELS1

Abstract

Models of determinants of pay satisfaction proposed by Lawler and by Dyer and Theriault are examined. The basic proposition of Lawler's model is found to explain only a moderate amount of pay satisfaction; a better conceptualization of Lawler's proposition is proposed. Dyer and Theriault add pay administration variables to Lawler's model and this expanded model is found to account for more pay satisfaction variance and to better predict consequences (turnover, absenteeism and pro‐union attitudes) of pay dissatisfaction.

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