This week we have been discussing the 3 Theories of Compensation:
1. Reinforcement and Expectancy
2. Agency, and
Do the 3 theories of compensation remain consistent even with the Coronavirus affecting the workplace and our lives? For example, according to the Equity Theory, there should be equity in the pay structure of an employees remuneration. If the employee feels he is not being paid fairly for the amount of work he does in a day, it will result in lower productivity, increased turnover and high absenteeism.
Looking at the amount of work our nurses and doctors are performing, does the Equity Theory still apply? What about the cashiers working in our local supermarkets? Or our truck drivers? Do these theories remain consistent, or does it change in the face of this pandemic?