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Managerial Pay and Company Performance UK Electrical and Office Equipment Goods Industry

Managerial Pay and Company Performance UK Electrical and Office Equipment Goods Industry It appears that the role of money as a motivatorin work tasks has increased substantially duringthe past decade. This applies particularly tomanagerial and executive grades. First, why thismight be the case is discussed. Second, theliterature on the early research into the pay of thechief executive is reviewed, since a major pointof consideration was the relationship betweenCEOs pay and firms performance. Third, theevidence on profit sharing and companyperformance is examined, as it appears that thisform of linkage has increased in the last decade,particularly for managerial and executive grades.Fourth, a model for testing the relationshipbetween managerial remuneration and theperformance of the firm is presented. This modelis then applied to internal and external measuresof performance for a sample of 147 firms in theUK electrical and office equipment industry for theyear 1987, and conclusions are drawn. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Employee Relations: An International Journal Emerald Publishing

Managerial Pay and Company Performance UK Electrical and Office Equipment Goods Industry

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References (20)

Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0142-5455
DOI
10.1108/EUM0000000001029
Publisher site
See Article on Publisher Site

Abstract

It appears that the role of money as a motivatorin work tasks has increased substantially duringthe past decade. This applies particularly tomanagerial and executive grades. First, why thismight be the case is discussed. Second, theliterature on the early research into the pay of thechief executive is reviewed, since a major pointof consideration was the relationship betweenCEOs pay and firms performance. Third, theevidence on profit sharing and companyperformance is examined, as it appears that thisform of linkage has increased in the last decade,particularly for managerial and executive grades.Fourth, a model for testing the relationshipbetween managerial remuneration and theperformance of the firm is presented. This modelis then applied to internal and external measuresof performance for a sample of 147 firms in theUK electrical and office equipment industry for theyear 1987, and conclusions are drawn.

Journal

Employee Relations: An International JournalEmerald Publishing

Published: Jun 1, 1991

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