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- People strive to maintain a ratio of their own outcomes (rewards) to their own inputs (contributions) equal to the outcome/input ratio of others with whom they compare themselves
- Outcomes
o the rewards, such as salary and recognition, that employees receive from their jobs
- Inputs
o people’s contributions to their jobs, such as their experience, qualifications, or amount of time worked
• Overpayment inequity
o the condition, resulting in feelings of guilt, in which the ratio of one’s outcomes to one’s inputs is more than the corresponding ratio of comparison person
o individual may raise her inputs or lower his outcomes
• Underpayment inequity
o the condition, resulting in feelings of anger, in which the ratio of one’s outcomes to one’s inputs is less than the corresponding ratio of comparison person
o individual may lower her inputs or raise his outcomes
• Perceptual resolution of inequity
o change how you think about the situation