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    Bonus pay, organisational justice and turnover intention: research into affective, social exchange relationship and social comparison processes

    Hoare, Ian (2021) Bonus pay, organisational justice and turnover intention: research into affective, social exchange relationship and social comparison processes. PhD thesis, Birkbeck, University of London.

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    Abstract

    This thesis aims to examine the relationship between bonus pay, organisational justice and turnover intention across a range of corporate organisations in the UK in order to better understand the effect of bonus pay on organisational outcomes. It considers the effects of bonus pay on the four distinct scales of organisational justice, the referents selected by recipients of a bonus to determine justice, and the subsequent bonus satisfaction and turnover intention appraisals of participants. It also considers bonus pay as a workplace event, both in isolation and in comparison with other events which occur during the research period, considering the effects of bonus pay on organisational justice, emotion, social exchange relationships and turnover intention, therefore attempting to close gaps in the justice literature identified by previous researchers. In the first of two studies, a questionnaire based, cross-sectional analysis of bonus pay as an event issued as close as administratively possible to the bonus pay announcement in a sample of 599 professionals in corporate organisations found that bonus amount has only weak or non-significant relationships with justice, satisfaction and turnover intention, and no direct effect on satisfaction or turnover intention. Justice scales and bonus satisfaction did predict turnover intention with differing direct and mediating effects. This study demonstrated some complex mediating effects of different scales of justice, with the type of bonus calculation (whether calculated as an absolute amount or as a percentage of salary) playing a role in which types of justice mediated bonus pay-satisfaction and bonus pay-turnover intention relationships. Referent selection also predicted bonus satisfaction and turnover intention, with the choice of referent in bonus situations proving different to those identified in ‘general’ pay situations in previous literature. In the second study, an experience sampling investigation using repeat measures with 31 participants, results showed that in comparison with events in general bonus pay elicited the predominantly negative emotions of anger and disappointment in participants. For bonus pay as an event in comparison with other events, organisational justice and social exchange predicted variation in turnover intention to a greater extent, demonstrating that bonus pay is an event which is particularly important in determining turnover intention. Social exchange relationship quality had the strongest direct effect on turnover intention, with organisational justice also having a direct effect. There were no direct emotional effects on turnover intention for any of the individual events under consideration, though emotion mediated the relationships between justice and social exchange relationship quality and justice and turnover intention, with the indirect paths through emotion proving stronger than direct effects.

    Metadata

    Item Type: Thesis
    Copyright Holders: The copyright of this thesis rests with the author, who asserts his/her right to be known as such according to the Copyright Designs and Patents Act 1988. No dealing with the thesis contrary to the copyright or moral rights of the author is permitted.
    Depositing User: Acquisitions And Metadata
    Date Deposited: 14 Sep 2021 11:18
    Last Modified: 14 Sep 2021 11:19
    URI: https://eprints.bbk.ac.uk/id/eprint/45970

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