EXPLAINING PAY FORMS FOR STRATEGIC EMPLOYEE GROUPS IN ORGANIZATIONS - A RESOURCE DEPENDENCE PERSPECTIVE

This paper applies a resource dependence perspective to examine evidence and explain how pay forms may be influenced by groups of employees in critical positions that affect firm performance. Contingency factors that impact the degree of dependence of management on groups of employees in critical positions are identified. Propositions are developed that predict specified forms of pay subject to various conditions. Implications for further research that utilizes a resource dependence perspective are discussed.