Same Same or Different? Pay Referents and Unfairness Perceptions in Two Employment Arrangements

Abstract

AbstractWhich reference information do nurses select to evaluate pay and does their employment arrangement matter? To answer these questions, we investigated the role of three types of reference information (perceived responsibility, social appreciation from colleagues and patients) in pay unfairness evaluations of Swiss temporary and staff nurses. Since unfair pay signals a lack of worth, we examined the role of social appreciation from the two sources as boundary condition for the effects of pay unfairness on exhaustion and job satisfaction. We analyzed our time-lagged survey data from 262 staff nurses and 120 temporary nurses using a multi-group framework. The effect of pay unfairness on job satisfaction – but not on exhaustion – was stronger in temporary nurses than in staff nurses. Contrary to our hypotheses, we did not find evidence that social appreciation from colleagues or patients moderated the effects of pay unfairness on job satisfaction and exhaustion. Follow-up analyses showed, however, that staff nurses rely on perceived responsibility and colleagues’ appreciation to gauge pay unfairness. Temporary nurses, in contrast, considered social appreciation on the output side, consistently for both sources of appreciation. This pattern of findings suggests that the comparison processes underlying fairness evaluations are not uniform across different employment arrangements. From a practical perspective, the findings imply that appreciation will not do as compensation for pay staff nurses perceive as unfair.