ABSTRACT

This chapter explores how pay is related to leisure, how people feel about their pay, and focuses on to a review of how it is distributed. It aims to understand how pay is connected to leisure and convenience and also explores how organisations distribute pay through structures. The chapter explores how pay can be interpreted, the mechanics of doing a pay survey, and job evaluation. Feelings about pay and the way it is distributed are the bedrock of an organisation's reward system. Acceptance by employees of the way pay is distributed is essential. Perhaps one of the strongest findings of pay research has been that people have quite separate feelings about pay and the pay system which produces their earnings. The structure of pay differentials is an intimate part of the structure and functioning of the organisation. Job evaluation is a formalisation process that attempts to ensure that the pay structure of an organisation is 'seen to be fair'.