International Journal of Research Studies in Management
CollabWritive Special Issue
2024 Volume 12 Issue 8
Available Online: 30 July 2024
Author/s:
Jing, Qian
Graduate School, Lyceum of the Philippines University – Batangas, Philippines
Abstract:
The remuneration system is an important tool in labors’ force management of all enterprises, and remuneration satisfaction with payment is a key point of research topic in the remuneration system. Especially after the destructive Covid-19, the whole economy fell in depression. Economy recovery needs better labors force management to draw back employment rate. This report focuses on hospitality industry, takes the labors in hospitality as the research sample, aims to figure out the relationship among remuneration satisfaction, organizational identity and employee engagement, provide guidance for enterprises to adjust the remuneration system and provide basis for enterprises to strengthen compensation management. This study aims to determine the relationship among employees remuneration satisfaction, organizational identity and employee engagement to come up with a framework that can be used as basis for enterprises in strengthening their compensation management. Specifically, it aimed to determine the remuneration satisfaction of employees in terms of pay level, pay structure and pay raises; describe the organizational identity as to purpose, value, and culture; analyze the employee engagement in terms of physical, cognitive and emotional domains; test the significant relationship among remuneration satisfaction, organizational identity and employee engagement; and come up with compensation management framework. This paper used the descriptive research method and the questionnaire as the source of data collection. Regression analysis and variance analysis were used for statistical analysis. The survey revealed that: remuneration satisfaction has a positive promoting effect on organization identity. All three dimensions: pay level, pay structure and pay rises which measuring remuneration satisfaction have positively promotes employee engagement. Secondly, organizational identity and its three dimensions of purpose, value and culture all have a positive promoting effect on employee engagement. Thirdly, organizational identity has a positive moderating effect on the relationship between remuneration satisfaction and employee engagement. Based on this, in response to the actual situation of China’s hospitality, it is necessary to optimize the remuneration satisfaction from aspects such as optimizing the salary level, improving the welfare system, and optimizing the salary structure. We need to strengthen the construction of organizational purpose, value, and culture, create a good environment, improve the consistency between personal goals and organizational goals, and enhance employee engagement. The main innovation of this article is that the relationship between remuneration satisfaction and employee engagement has evolved over time and keeps developing, especially in response to the younger employees. Organizational identity has both moderating and mediating effects in the relationship between remuneration compensation satisfaction and employee engagement, which is innovative compared to previous research findings.
Keywords: remuneration satisfaction, organizational identity, employee engagement
DOI: https://doi.org/10.5861/ijrsm.2024.1202
Cite this article:
Qing, Q. (2024). Remuneration satisfaction, organizational identity and employee engagement: Basis for compensation management framework. International Journal of Research Studies in Management, 12(8), 13-26. https://doi.org/10.5861/ijrsm.2024.1202