Publication Type

Journal Article

Version

acceptedVersion

Publication Date

5-2008

Abstract

The authors examined the relationship between the direction of pay comparisons and pay level satisfaction. They hypothesized that upward pay comparisons would significantly predict pay level satisfaction, even when controlling for other comparisons. Results reported in 2 samples (U.S. sample, N = 295; Belgian sample, N = 67) generally supported this hypothesis. Analyses showed that individuals who were paid much less than their upward pay comparison were dissatisfied with their pay level. The highest levels of pay level satisfaction were observed when actual pay was congruent with the upward comparison pay level. There was also evidence that individuals who were paid much more than their upward pay comparison were dissatisfied with their pay level. However, the negative effects of overreward on pay satisfaction were considerably smaller than were those of underreward.

Keywords

Pay level satisfaction, social comparisons, polynomial regression analysis

Discipline

Human Resources Management | Organizational Behavior and Theory

Research Areas

Organisational Behaviour and Human Resources

Publication

Journal of Applied Psychology

Volume

93

Issue

3

First Page

665

Last Page

673

ISSN

0021-9010

Identifier

10.1037/0021-9010.93.3.665

Publisher

American Psychological Association

Copyright Owner and License

Authors

Additional URL

https://doi.org/10.1037/0021-9010.93.3.665

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