Chapter 7 -- Defining competitiveness - College of Business ...
Chapter 7 -- Defining competitiveness - College of Business ...
Chapter 7 -- Defining competitiveness - College of Business ...
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
7 - 13<br />
Labor Demand Theories and Implications<br />
Theory Prediction<br />
So What?<br />
Compensating<br />
differentials<br />
Efficiency wage<br />
Signaling<br />
Work with negative<br />
characteristics requires higher<br />
pay to attract workers.<br />
Above-market wages will improve<br />
efficiency by attracting workers<br />
who will perform better and be<br />
less willing to leave.<br />
Pay policies signal the kinds <strong>of</strong><br />
behavior the employer seeks.<br />
Job evaluation must collect<br />
and compensable factors<br />
most capture these negative<br />
characteristics.<br />
Staffing programs must have<br />
the capability <strong>of</strong> selecting the<br />
best employees. Work must<br />
be structured to take<br />
advantage <strong>of</strong> employees’<br />
greater efforts.<br />
Pay practices must recognize<br />
these behaviors by better pay,<br />
larger bonuses, and other<br />
forms <strong>of</strong> compensation.<br />
McGraw-Hill/Irwin<br />
© 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
Change language