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Contextual determinants of variable pay plan design - a proposed research framework

By: MICELI, Marcia P.
Contributor(s): HENEMAN, Robert L.
Material type: materialTypeLabelArticlePublisher: 2000Human Resource Management Review 10, 3, p. 289-305Abstract: Increaingly, organizations are using variable pay plans to rewar d employees for the results that they achieve. Current discussion of variable pay focuses on variable pay pla design mechanics, with insufficient attention given to contextual variables that may affect variable pay plan desing. We offer a preliminary framework for examining the contextual determinants of variable pay plan desing. Components of the framework include characteristics of the environments, characteristics of the organization, and the organization`s pay strategies. Propositions for future research are offered
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Increaingly, organizations are using variable pay plans to rewar d employees for the results that they achieve. Current discussion of variable pay focuses on variable pay pla design mechanics, with insufficient attention given to contextual variables that may affect variable pay plan desing. We offer a preliminary framework for examining the contextual determinants of variable pay plan desing. Components of the framework include characteristics of the environments, characteristics of the organization, and the organization`s pay strategies. Propositions for future research are offered

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