DEFINING COMPETITIVENESS AND PAY PERFORMANCE

It is the additional output related with the employment of one human resource unit with the other production factors held constant.

• Marginal revenue of labor

• Marginal product of labor

• Labor Demand

It is the additional revenue generated when the firm employs one additional unit of human resources with other production factors is constant.

• Marginal revenue of labor

• Marginal product of labor

• Labor Demand

Workers compete through qualifications for job with established wages.

• Reservation Wage Theory

• Human Capital Theory

• Job Competition Theory

The value of an individual skills and abilities is a function of the time and expense required to acquire them.

• Reservation Wage Theory

• Human Capital Theory

• Job Competition Theory

Job seekers won't accept jobs whose pay is below a certain wage, no matter how attractive other job aspects.

• Reservation Wage Theory

• Human Capital Theory

• Job Competition Theory

Above Market wages will improve efficiency by attracting workers who will perform better and be less willing to leave.

• Compensating Differentials Theory

• Efficiency Wage Theory

• Signaling Theory

Work with negative characteristics requires higher pay to attract workers.

• Compensating Differentials Theory

• Efficiency Wage Theory

• Signaling Theory

Pay policies signal the kinds of behavior the employer seeks.

• Compensating Differentials Theory

• Efficiency Wage Theory

• Signaling Theory

A non-financial incentive that give opportunities for skill enhancement through training and career advancement, focusing on the long-term growth and development of employees.

• Recognition and awards

• Work-life Balance

• Professional Development

A non-financial incentive that practices such as flexible work hours, telecommuting options, and additional vacation days, aiming to support employees' well-being and maintain a healthy work-life balance.

• Recognition and awards

• Work-life Balance

• Professional Development