SECTION A [25 MARKS]

Read the paragraph below and answer the questions that follows.
Adam’s Equity Theory states that people are strongly motivated to maintain a balance between
what they perceive as their inputs or contributions and their rewards. If a person perceives an
inequity, a tension or drive will develop in the person’s mind and the person will be motivated to
reduce or eliminate the tension and perceived inequity.
Required
a) Elaborate on the four forms of equity. (10 marks)
b) Discuss any five (5) broad types of possible behaviour as a consequence of inequity
according to Adam’s equity theory. (15 marks)

1 answer

SECTION A [25 MARKS]

a) Elaborate on the four forms of equity. (10 marks)

Equity in Adam's Equity Theory is grounded in the balance between an individual’s inputs and outcomes. The four forms of equity that can be distinguished are:

  1. Distributive Equity: This form of equity refers to the perceived fairness of the outcomes received relative to the inputs provided. For example, if two employees contribute equally in effort and skills but one is compensated significantly more than the other, the perceived distributive inequity can lead to dissatisfaction.

  2. Procedural Equity: This form involves the fairness of the processes and procedures that lead to outcomes. If employees believe that the decision-making processes regarding promotions or raises are fair and transparent, they are more likely to feel satisfied, even if the outcomes are not as favorable as they hoped.

  3. Interactional Equity: This form pertains to the quality of interpersonal treatment individuals receive. Interactional equity emphasizes respect, honesty, and transparency in communication. Employees who feel valued and treated fairly by supervisors or peers tend to perceive a higher level of fairness, which can enhance job satisfaction.

  4. Temporal Equity: This form of equity focuses on the fairness of the timing of rewards and punishments in relation to inputs. It emphasizes that individuals should feel justly rewarded or penalized in a timely manner according to their contributions. A delay in recognition or reward can create feelings of inequity, regardless of the eventual outcome.


b) Discuss any five (5) broad types of possible behaviour as a consequence of inequity according to Adam’s equity theory. (15 marks)

When individuals perceive inequity in their input-output ratio as described by Equity Theory, they may exhibit various behaviors in response to this perceived injustice. Here are five broad types of possible behavior:

  1. Alter Input or Output: Individuals may choose to change their level of contribution. For instance, they might reduce their effort at work, decrease quality, or even withdraw from certain activities if they feel they are putting in more than they are receiving in return. This behavior seeks to restore equity by aligning inputs with perceived rewards.

  2. Change Cognitive Perception: Individuals often adjust their perception of either their inputs or their outcomes. They may convince themselves that they are actually putting in less effort than they thought or that the rewards they receive are more substantial than they originally believed. This mental adjustment helps to alleviate feelings of inequity.

  3. Comparison with Others: People may compare themselves to others to assess whether their situation is unjust. If they find someone with a similar contribution receiving more rewards, they might feel resentment or frustration. Conversely, if they find someone whose contributions are poorer but who receives even less, they may feel justified in their own position.

  4. Exit Behavior: In cases of significant inequity, individuals may choose to leave the situation altogether. This could manifest as quitting a job, transferring to another department, or even leaving a relationship. By exiting the environment where they feel inequity, they seek a scenario that aligns better with their expectations of fairness.

  5. Seeking Redress: Individuals may pursue formal or informal means to address perceived inequity. This could include discussing grievances with a supervisor, filing complaints, or even organizing collective actions (like union initiatives) to call attention to the perceived injustice. In some cases, individuals might seek negotiation for better terms to equalize the input-output ratio.

These behaviors illustrate how strongly individuals are motivated to seek equity in their social and work environments, highlighting the psychological impact of perceived inequities on motivation and satisfaction.

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