Validity of the Dimensions of the Pay Satisfaction Questionnaire: Implications for Research and Practice

Abstract

Pay satisfaction has long been a topic of interest to researchers and practitioners. However, only in the past several years have researchers began to realize that pay satisfaction is a multidimensional construct. Heneman and Schwab (1979, 1985) are largely responsible for hypothesizing the multidimensionality of pay satisfaction, and their Pay Satisfaction Questionnaire (PSQ) is the only instrument available to measure dimensions of pay satisfaction. Recent research, however, has questioned the validity of the PSQ and the measurement of the dimensions of pay satisfaction. Although this research has been informative, it really has not constituted a formal test of the construct validity of the PSQ and its dimensions. Using a heterogeneous sample of employees from a large corporation, the present study found supportive evidence for the validity of the dimensions of the PSQ. The items from the PSQ loaded on their hypothesized dimensions, and the dimensions were empirically distinct. Furthermore, the dimensions displayed differing patterns of correlations with their hypothesized influences. Implications of the results for research and practice are discussed.