Referent Selection in Determining Equity Perceptions: Differential Effects on Behavioral and Attitudinal Outcomes

The concept of differential equity allows individuals to have different perceptions of equity depending on the pay referent used. Different pay referents should result in different tactics to reduce inequities. To test this hypothesis, equity perceptions with respect to seven different referents were compared as to their relationship to pay satisfaction, intent to remain with a company, and frequency of extra‐role behavior. Findings suggest that the various types of inequity relate differentially to each of the three outcome variables.