The implication of equity theory for managers is that employees indeed evaluate the perceived equity of their rewards compared to others'.

Question

Quizplus · Accepted Answer

The statement accurately reflects the implications of the equity theory for managers. Equity theory suggests that employees evaluate the perceived fairness of their rewards compared to those of other employees. This means that managers should not only focus on the amount of rewards they offer but also on ensuring that they are perceived as fair and equitable by their employees. Failure to do so may lead to dissatisfaction, demotivation, and even turnover among employees.

The Implication of Equity Theory for Managers Is That Employees