Pay-for-performance dilemma revisited: empirical example of the importance of group effects

Article Abstract:

The pay-for-performance relation was examined at the individual level of analysis using data from 71 managers and professionals who constituted the entire management hierarchy at a manufacturing facility. There was no significant correlation between performance rating and total merit raise (r = .19, ns). However, there was a significant hidden supervisory group effect: Units with higher average performance ratings were given higher average raises (r = .45, p <.05) than units with lower performance ratings. There was no significant correlation within units (r = -.03, ns). The results were analyzed and contrasted using the Within and Between Analysis technique (Dansereau, Alutto, & Yammarino, 1984) and the Contextual Analysis technique (Boyd & Iversen, 1979). Of the possible alternative explanations for the lack of relation between pay and performance at the individual level of analysis, these data suggest the need for the explicit consideration of the effects of group membership. (Reprinted by permission of the publisher.)

Merit pay

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Effects of employment-at-will policies and compensation policies on corporate image and job pursuit intentions

Article Abstract:

The investigation was of the effects of explicit commitment to employment-at-will personnel policies vs due process policies and compensation strategy (leading vs. average), in recruiting materials, on corporate impressions and job pursuit intentions. Ss were 101 undergraduate business students who read simulated employment brochures. Significant main effects and interaction effects were found for the influence of personnel and compensation policies on reported favorability of corporate impression and intentions to pursue employment. Findings are discussed in terms of the need to strike a balance between employer and employee rights. (Reprinted by permission of the publisher.)

Employee motivation, Corporate image, Employee dismissals, Employment terminations, Employment at will

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On the application of within and between analysis: are absence and affect really group-based phenomena?

Article Abstract:

George (1990) examined personality, affect, and absence behavior as group-level phenomena. The recognition of level of analysis issues in that study was important, and the formulation of group-level hypotheses was interesting. However, the incomplete application of within and between analysis (WABA) led to suspect conclusions about group-based effects. The current study reexamined and reinterpreted George's results in light of an appropriate application of WABA. Personality, affect, and absence behavior appear to be based primarily on individual rather than group differences. (Reprinted by permission of the publisher.)

Organizational behavior, Industrial psychology, Industrial-organizational psychology

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