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Attitude Formation of Benefits Satisfaction: Knowledge and Fit of Benefits
Gery Markova, Foard Jones
Pages - 45 - 52     |    Revised - 31-03-2011     |    Published - 04-04-2011
Volume - 2   Issue - 1    |    Publication Date - March / April 2011  Table of Contents
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KEYWORDS
Benefits, Benefits Satisfaction, Turnover Intentions
ABSTRACT
Using the theoretical framework of the Theory of Reasoned Action [6], we examine benefits satisfaction as an attitude formed by the beliefs about benefits (i.e., benefits knowledge) and the perceived value of these benefits (i.e., fit of benefits to individual needs). We use questionnaires to gather data from a random sample of 591 employees in a large county agency in the South-eastern United States. The data support that knowledge of benefits is associated with enhanced benefits satisfaction and mediates the effect of explanations about benefits on satisfaction. The results provide strong evidence that benefits perceived to suit employee needs generate highest benefits satisfaction. Employees satisfied with their benefits are less likely to consider leaving the organization. The tested model is a starting point for future studies to apply the extended Theory of Reasoned Action [1] and incorporate perceived behavioural control and subjective norms (i.e., co-workers’ attitudes) in forming benefits satisfaction. Understanding employees’ affective and cognitive reactions to compensation, including benefits, can render better practices. Companies should use information campaigns to improve employee beliefs about benefits. Better attentiveness to individual needs and preferences can maximize the utility of a benefits plan and improve its acceptance. We replicate and extend past research in a parsimonious model of benefits satisfaction with a random sample of public sector employees.
CITED BY (2)  
1 Dolai, D. (2015). Managing Performance for Business Development: The Case of LIC of India.
2 Resurreccion, P. F. (2012).Performance management and compensation as drivers of organization competitiveness: The Philippine perspective. International Journal of Business and Social Science, 3(21), 20-30.
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Dr. Gery Markova
BSB, Wichita State University - United States of America
gergana.markova@wichita.edu
Dr. Foard Jones
- United States of America