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dc.rights.licenseRestricted to current Rensselaer faculty, staff and students. Access inquiries may be directed to the Rensselaer Libraries.
dc.contributorFrancis, Bill
dc.contributorKumar, M. V. Shyam
dc.contributorWu, Qiang
dc.contributorKobeissi, Nada
dc.contributor.authorEbel, Abrar
dc.date.accessioned2021-11-03T08:39:34Z
dc.date.available2021-11-03T08:39:34Z
dc.date.created2016-09-27T14:10:43Z
dc.date.issued2016-08
dc.identifier.urihttps://hdl.handle.net/20.500.13015/1761
dc.descriptionAugust 2016
dc.descriptionSchool of Management
dc.description.abstractThe second essay of this dissertation focuses on two types of vertical pay gap found within firms. The second essay examines the following two pay gaps: (i) Pay gap between CEOs and the top management team members. And (ii) pay gap between top executives and non-top-executive employees. This essay explores how the pay gap between CEOs and the top management team members and the pay gap between top executives and non-top-executive employees contribute to the variation in firm-level employee job satisfaction. Two main perspectives are used to shed light on the consequences of the CEO (top executives) to other employees pay gap: first, some scholars use organizational theory perspective (Carpenter & Sanders, 2002; Siegel & Hambrick, 2005); and second, some scholars use Tournament theory perspective (Eriksson, 1999; Lazear & Rosen, 1981; Rosen, 1986) others use both (Faleye, Reis, & Venkateswaran, 2013; Sharma, 2008). Similarly, we use both perspectives to develop hypotheses with regards to executive-employee pay gap and employees' job satisfaction.
dc.description.abstractThe first essay of this dissertation examines the impact of variation in organization capital investment on employee job satisfaction. Further, the first essay studies whether the following: firm industry, firm age, provision of employee stock options, and corporate social responsibility moderates the relationship between organization capital investment and job satisfaction. We examine our presumptions using data on the “100 best companies to work for” list gathered from Edmans (2011; 2012). Financial and accounting data is collected from Compustat and executive compensation data is gathered from ExecuComp. First, we find for the 100 best companies sample, firms with more organization capital are more likely to be in the top ranks of the list. Also, we find empirical evidence that firms with high organization capital are more likely to be part of the 100 best companies to work for list. Moreover, we find employees of firms in knowledge-intensive industries expect their employers to invest in organization capital. In addition, we find age moderates the relationship between organization capital and job satisfaction. Also, we observe that employee stock options strengthens the relationship between high organization investment and employee job satisfaction. Finally, with regards to the moderation influence corporate social responsibility (CSR) on the relationship between organization capital and investment and job satisfaction, we find CSR weakens the relationship.
dc.description.abstractAdditionally, we investigate the influence of industry characteristics and having female executives in the top management team on the relationship between pay gap within the company and job satisfaction. Similar to the first essay, we investigate our hypotheses using data on the "100 best companies to work for" list gathered from Edmans (2011; 2012). Financial and accounting data is collected from Compustat and executive compensation data is collected from ExecuComp. We find empirical evidence that supports our presumptions that within-firm pay gap impacts employees’ job satisfaction. First, we find that the pay gap between top management compensation and the other employees of the firm is negatively associated with employee job satisfaction. This result is consistent with the press, politicians, and media views that the growing pay gap between top executives and regular employees can hinder employees' well-being (Eavis, 2015; Grijalva, Ellison, and Waters, 2015). We find no empirical support for the relationship between the CEO to top executives pay gap and employee job satisfaction. Further, regarding the moderation influence of industry characteristics, we observe in high-tech industries as the pay gap increases its even more likely employees be dissatisfied with their jobs, which is consistent with the organizational justice view. Finally, we find for firms with female executives the TMT-employees pay gap has a weaker impact on likelihood of being in the 100 best companies to work for list when the relationship between TMT-employees pay gap and job satisfaction is negative.
dc.description.abstractThis dissertation investigates two determinants of firm-level employee job satisfaction. Employees’ job satisfaction is considered essential by many firms, not only because it impacts firms’ effectiveness (Edmans, 2011; 2012), but also because many companies today are concerned about the wellbeing of their talents (Saari & Judge, 2004; Spector, 1997). The first essay assesses how variation in firms' organization capital investment impacts firm-level job satisfaction. The second essay examines how the: (i) CEO to top management members pay gap (ii) and top executives to employees pay gap impact job satisfaction.
dc.language.isoENG
dc.publisherRensselaer Polytechnic Institute, Troy, NY
dc.relation.ispartofRensselaer Theses and Dissertations Online Collection
dc.subjectManagement
dc.titleTwo essays on determinants of firm-level employee job satisfaction: organization capital and within firm pay gap
dc.typeElectronic thesis
dc.typeThesis
dc.digitool.pid177508
dc.digitool.pid177509
dc.digitool.pid177510
dc.rights.holderThis electronic version is a licensed copy owned by Rensselaer Polytechnic Institute, Troy, NY. Copyright of original work retained by author.
dc.description.degreePhD
dc.relation.departmentLally School of Management


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