![]() ![]() The overpaid inequity can be expressed as: When an individual perceives that his outcomes are more when compared to his inputs, in relation to others. There are three types of exchange relationships that arise when an individual's outcomes are compared with that of the other persons. To validate the exchange, an individual compares his input and outcomes with those of others and try to rectify the inequality.Individuals make contributions (inputs) for which they expect certain rewards (outcomes).The Adam’s Equity Theory was proposed by John Stacey Adams, and is based on the following assumptions: ![]() ![]() In other words, an employee gets de-motivated by the job and his employer in case his inputs are more than the outcomes. The Adam’s Equity Theory posits that people maintain a fair relationship between the performance and rewards in comparison to others. ![]()
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