The Equity Theory of Motivation deals with the way people compare the value of
themselves to others in similar work situations based on their inputs and outputs. Inputs
are what you bring to the situation, like your skills, time and education. Outputs are
everything you get in return, like your salary, bonuses, raises and promotions. The theory
assumes that people’s motivation in an organization is based on the desire to be treated
equally and fairly. When the output/input ratio is viewed as equivalent then equity is
perceived as attained, there is not much motivation to change the situation.
When inputs are less like amount of work or time spent working, but the output of
pay is higher there is a perceived inequity in the situation. Inequities occur when the
output/input ratio is not equivalent to the comparison person. Inequities motivate the
employee to try to achieve equality. When an employee feels there is inequality they can
do many things to reduce their inequity. They can increase or decrease their inputs or
outputs, leave, distort their own or the others input or outcomes, or just change the
comparison person.
At my last job I was hired directly from college along with 3 other graduates from
different schools that had comparable backgrounds. We all started out with the same
salaries, two on one team and two on another team. As the year came to a close
evaluations and raises were conducted throughout the organization. I felt that I would
receive a raise that was of the same amount as my other colleagues. I came to find out
that my raise was 0.5% less than two of the other recent college grads. I felt offended
and tried evaluating what the differences between us were. First I distorted my view of
their work. They were working on new projects and had been putting in some extra time
to keep up. Though if I had been given a new project I may have put in extra time also. I
