Chapter 23: Pay Increase Satisfaction:A Reconceptualization of Pay Raise Satisfaction Based on Changes in Work and Pay Practices

A new perspective on pay raise satisfaction, termed pay increase satisfaction, is conceptualized and used to guide the development of measures to supplement the widely used Pay Satisfaction Questionnaire (PSQ) [International Journal of Psychology, 20, (1985), p. 129]. The need for this new conceptualization lies in the nature of contemporary work and pay systems, particularly to those organizations adopting new strategic pay practices. Six dimensions of pay increase satisfaction are proposed: pay increase amount, pay increase opportunity, pay increase form, pay increase requirements, pay increase personal control, and pay increase rules. These dimensions are necessary to capture elements of the pay satisfaction domain not currently being captured by the PSQ. Implications for future research are discussed.