A quantitative analysis of expressed preferences for compensation plans

Abstract

The method of factorial paired comparisons is employed in 2 studies designed to evaluate employee preferences for alternative forms of job compensation. Explicitly considered are 4 compensation features with 2 levels each: weekly salary vs. hourly wage, use or nonuse of supervisory merit-ratings, inclusion or exclusion of a piece-incentive plan, and pay increase vs. no increase. A 2 4 factorial design provides estimates for and tests of significance on preference scale values associated with each compensation "package," as well as for scale contrasts between the 2 levels of each separate compensation feature. (PsycInfo Database Record (c) 2025 APA, all rights reserved)