Equity Theory

Definition: Equity Theory examines how individuals assess fairness in relation to others, particularly in workplace settings. It’s a theory that cuts to the heart of human motivation, dealing with one of our deepest concerns: fairness.
At its essence, Equity Theory suggests that employees are motivated not just by absolute pay and rewards, but also by a sense of fairness. It measures the ratio of Inputs (what we give to a job) to Outputs (what we get from it)

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More on behavior and motivation: Attribution Theory, Employee Commitment, Employee Involvement, Employee Motivation, ERG Theory, more on behavior and motivation...

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