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Support for Profit Sharing and Organizational Commitment: A Path Analysis

Gary W. Florkowski, Michael H. Schuster

Human Relations · 1992 · Volume 45 · Issue 5

DOI: 10.1177/001872679204500505

Abstract

This study tested propositions from Florkowski's (1987) profit-sharing model based on the responses of 160 individuals. As predicted, performance-reward contingencies and pay equity were significant determinants of plan support. Profit-sharing support, in turn, was an important determinant of organizational commitment. The hypothesized link between influence on decision making and plan support was not substantiated, nor was there evidence that job satisfaction moderated the relationship between support for profit sharing and organizational commitment.

Keywords

profit sharing, organizational commitment, group incentives

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