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<p>Employers use compensation as an incentive to recruit and retain employees, but for compensation to be an effective retention tool it must be fair and equitable. Employees’ perception of their compensation is equally important. Building on equity theory, this study examines how employees perceive their pay and how salary realities and perceptions influence their decision to consider changing jobs. Using data from the NIGP: The Institute for Public Procurement we demonstrate a high correlation between salary perception and reality and offer mixed support with respect to pay equity and turnover intention of front-line employees and those in leadership positions. Compliance with Ethical Standards.</p>

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Perceptions vs. Realities of Pay: Exploring their Influence on the Choice to Leave

  • 期刊论文

  • 发表日期：

    2025年10月4日

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  • Susannah Bruns Ali,
  • Mohamad Alkadry,
  • Evelyn Rodriguez-Plesa,
  • Ana Maria Dimand

摘要

Employers use compensation as an incentive to recruit and retain employees, but for compensation to be an effective retention tool it must be fair and equitable. Employees’ perception of their compensation is equally important. Building on equity theory, this study examines how employees perceive their pay and how salary realities and perceptions influence their decision to consider changing jobs. Using data from the NIGP: The Institute for Public Procurement we demonstrate a high correlation between salary perception and reality and offer mixed support with respect to pay equity and turnover intention of front-line employees and those in leadership positions. Compliance with Ethical Standards.