| Author: | Lam, Wai Yuan Leon |
| Title: | Pay transparency, pay structure, and idiosyncratic deals |
| Advisors: | Cheng, Bonnie (MM) |
| Degree: | D.B.A. |
| Year: | 2019 |
| Subject: | Hong Kong Polytechnic University -- Dissertations Compensation management Wages Industrial relations Negotiation Deals |
| Department: | Faculty of Business |
| Pages: | viii, 105 pages |
| Language: | English |
| Abstract: | In recent years, pay transparency is increasingly demanded and practised in workplace as pay transparency is believed to create a trusting and fair working environment (Cullen, 2017; Loudenback, 2017; Rosenfeld 2017; Shellenbarger, 2016; Sweney 2018). However, the overall effects of pay transparency and its mechanisms are still under debate (Bamberger & Belogolovsky, 2017; Burkus, 2016; Tremblay, 2008; Zenger, 2016). One possible but unconfirmed effect of pay transparency is employees would negotiate for individualized employment arrangements. Idiosyncratic deals (i-deals) is a common practice in organizations in which employees negotiate individualized employment related arrangements with supervisors to yield mutual benefits for the employees and the firms (Rousseau, Ho, & Greenberg, 2006). This study aims to study the relationship between pay transparency and idiosyncratic deals. Further, to understand the mechanism of pay transparency on i-deals request, pay dispersion is tested as a mediator as it was previously shown that pay transparency led to change in pay dispersion (Mas, 2017). Based on data collected from 98 Chinese firms in the medtech industry, this study shows a significant negative relationship between pay tansparency and employee requests for developmental and financial i-deals through non-performance-based pay dispersion. Performance-based pay dispersion mediates the negative indirect effect of pay transparency on financial i-deals but not developmental i-deals. Pay transparency is negatively related to developmental i-deals fulfillment and financial i-deals fulfillment through non-performance based pay dispersion. This study provides empirical evidence to support the negative relationship between pay transparency and pay dispersion that fills a gap in the existing compensation research. To my best knowledge this is the first study that links pay, communication and structure, with i-deals as antecedents and also shows i-deals are outcomes of pay transparency. The managerial contributions of this study include providing firms with insights when deciding whether to adopt pay transparency policies and its potential impacts to individuals and organizations. It also contributes to the understanding of different effects of fixed-pay and variable-pay dispersion on i-deals when setting pay structure. |
| Rights: | All rights reserved |
| Access: | restricted access |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| 991022289505703411.pdf | For All Users (off-campus access for PolyU Staff & Students only) | 1.12 MB | Adobe PDF | View/Open |
Copyright Undertaking
As a bona fide Library user, I declare that:
- I will abide by the rules and legal ordinances governing copyright regarding the use of the Database.
- I will use the Database for the purpose of my research or private study only and not for circulation or further reproduction or any other purpose.
- I agree to indemnify and hold the University harmless from and against any loss, damage, cost, liability or expenses arising from copyright infringement or unauthorized usage.
By downloading any item(s) listed above, you acknowledge that you have read and understood the copyright undertaking as stated above, and agree to be bound by all of its terms.
Please use this identifier to cite or link to this item:
https://theses.lib.polyu.edu.hk/handle/200/10298