Many industrial psychologists have conducted research and experiments on employee morale and motivation. Results of such experiments have revealed that there are two factors at work when it comes to employee morale and motivation. The first set of factors known as satisfiers lead to employee satisfaction and include achievement, recognition, responsibility and growth. The second set of factors called dissatisfiers includes working conditions, salary, security and interpersonal relations. The presence of satisfiers keeps an employee satisfied while dissatisfiers take a toll on employee motivation.
Hence it becomes clear that if an employee has a problem with the second set, he/she may eventually quit the organization. Compensation belongs to the second set and must be adequately taken care of if a company has to retain its employees.
Hence a major effort is made by a company to determine the salary and wages of its employees.
Most companies hire the services of consultants to handle compensation, overtime, retirement, pensions, salary and wages of its employees. We present a list of resources focused on this key area.