Study On Employee's Salary Satisfaction Based On Equity Theory

With the advancement of society and the renovation of modern theory of enterprise management, the employee encouragement system of "People-oriented, High-satisfying" has been the facous in the field of human resource management now. In developing nations, like China, it's one of the important means to improve the competition advantage in the future that the company improves the salary satisfaction of employee through salary encouragement.In the dissertation, with the employees of big natinal enterprise that had reformed successfully as the study subject, based on equity theory, the reasearcher discusses and analyses the characteristics of employee's salary satisfaction, its significant influencing factors, the relationship between salary satisfaction and its influencing factors, and constructs a salary satisfacion modle based on the analysis. The results of the study provide helpful instruction for understanding Chinese employee's salary satisfaction, making salary policies adapte to Chinese enterprise and planning scientific salary management system.Firstly, aiming at non-systemic study, unclear concepts and with the background of daily life of western employees in previous studies, based on systematical and thorough literature review, specialists interview and grade, the researcher clearly defines the research variables from the aspects of content and operational conception: classifies salary satisfaction into two dimensions of obvious and recessive salary satisfaction; confirms three dominant determinants influencing factors of salary satisfaction, which are devoted factors, output factors and environment factors variables based on equity theory. Base on these analysis, a scale is developed, which is suitable for measuring Chinese employee's salary satisfaction and its influencing factors. The reliability and validity of the scale are certified by empirical study.Secondly, the study analyses the relationship between influencing factors and salary satisfaction. The investigation with sample of the employees of big national enterprise shows that, Chinese employees have a general low level salary satisfaction; there are four stronger power variables of predicting obvious salary satisfaction that decline in the order of organization environment, obvious output, salary level and skill devotion, and four stronger power variables of predicting recessive salary satisfaction that decline in the order of organization environment, recessive output, skill devotion and obvious output. The results also find out that, organization environment is the strongest power varialble of predicting obvious and recessive salary satisfaction, which reflects the characteristic of Chinese company influced by east culture. Finally, the study constructs a salary satisfaction modle based on equity theory, that syncretizes equity theory, expounds the study frame from three aspact of devotion, output and environment aiming at Chinese enterprise, includes the primary determinants factors influencing salary satisfaction and reveals the relationship between influencing factors and salary satisfaction.The study provides a set of tools to measure employee's salary satisfaction of Chinese company, and a set of analyzing tools and theorecical basis for human resourece manager to find out the key factors and improve employee's salary satisfaction, make suitable efficient salary policies and system.