A dynamic reformulation of perceptions of inequity: Their organizational antecedents and outcomes

This dissertation develops a dynamic reformulation of equity theory. It proposes a longitudinal model to study the dynamics of individuals' perceptions of inequity, as well as the antecedents and consequences of these perceptions. The model is tested using a 55-week longitudinal design in an organizational setting. Results indicate that employees who actively participate in goal-setting and decision-making within the organization are more likely to have realistic expectations of their inputs to the organization and outputs from the organization. They are therefore more likely to perceive being treated equitably. Further, participation helps employees shape perceptions of organizational climate by influencing their perceptions of social norms. These social norms are used as reference sources by employees in determining their perceptions of inequity. Finally, employees' perceptions of inequity are significant predictors of their commitment to the organization as well as their satisfaction at work. The model also tested the hypothesis of mutual causality between employees' commitment to the organization and satisfaction at work. The results do not support this hypothesis. Instead, employees' commitment to the organization was a causal predictor of their satisfaction with work. This finding supports Salancik's (1977) argument of post-action justification in organizations. (Copies available exclusively from Micrographics Department, Doheny Library, USC, Los Angeles, CA 90089-0182.)