Two essays on determinants of firm-level employee job satisfaction: organization capital and within firm pay gap

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Authors
Ebel, Abrar
Issue Date
2016-08
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Electronic thesis
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ENG
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Management
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Abstract
The 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.
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August 2016
School of Management
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Rensselaer Polytechnic Institute, Troy, NY
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