Arizo, Zeniah

Barril, Jenalene
Cerezo, Mark Jayson G.
Tawatao, Vea Julyn Mari
EQUITY IN PAYMENT
How do you expect employee to evaluate the fairness of their pay in their redesigned jobs?
We can survey the employee if they are satisfied to their pay and ask their reaction and their
comments and suggestion if there is need to change. We can also expect that employees evaluate the
fairness regarding to the complexity and responsibility of the job. We also based on how the employees
performance to the job, on how they use their abilities, skills, knowledge to carry their job and
responsibility to accomplish the job. We HR must ask our employee their opinion about the fairness into
consideration. If the employee feels that their pay structure is unfair they would be demotivated.
Employee evaluate their pay against other employee especially if they do the same job and the same
position, they also ask previous employee on that title the differences.
In terms of equity theory, what comparison would they likely to make?
In equity theory the comparison would be the input of the employee does on the employee and
they expect the fair payment they gained. These inputs include years of experience, years of working in
that company, education level, skills level of the employee. Hours of working on that job and others
affect the input. For example A is working in the company for 10 years and was offered 65,000php per
month while B is a new hire in the company was offer the same job as A for 65,000php also. This is
unfair for A since his work in the company but he is the same pay as B who is new in the company.
Employee comparison also their pay on other organization with similar roles. For example C is a sale
manager in the Y Company and earning 30,000php but sees that Z Company is also hiring a sale manager
that can earn 45,000php. In this scenario the employee feel demotivated because there salary is lower than
others this can help the employee to resign to the company and transfer to other company since they are
doing the same job as before.