MURRAY, Brian

Skill-based pay and skill seeking - 2000

Much discussion has been devoted to why organizations might wish to use skill-based pay (e.g., its hypothesized effects on organizatinal outcomes and fit with organizational design an processes). However, there has been little attention given to conceptual development of the "how"of skill-based pay in terms of how it affects key employee beliefs, intentions, and behaviors. To begin toa ddress this omission, we offer a model of peharps the most central process, the individual employee`s skill seeking under skill-based pay. Using a planned behavior approach, we propose that worker`s choice of whether or not to progress through the pay structure is a function of the workers` attitudes (expectancies of the pay), subjective norms (the developmental, contribution, and achievement norms that develop under skill-based pay), and perceived behavioral control (the individual`s perceived pay-related knowledge, self-efficacy, and support). Further, we propose that the design and implementation of skill-base pay play an important role in moderating whether workers`intentions to skill seek become skill-seeking behavior through their influence on perceived behavioral control