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What is Key Theories of Compensation Management about?
1. Reinforcement and expectancy theory posit that employees will repeat behaviors that result in rewards. Employees are motivated to perform when they expect good performance will lead to rewards. 2. Equity theory states compensation should be fair. Unfair pay can hurt productivity, increase turnover, and boost absenteeism. Pay should be internally, externally, and individually equitable. 3. Agency theory views employees and employers as stakeholders. Compensation is the "agency cost" between their inte
- Author
- priya srm
- Language
- EN