Setting wage levels has always been tricky for employers, because gauging whether higher pay motivates employees to make a measurably positive impact on the bottom line is difficult. In this first-of-its-kind research report, academics James Hesford, Nicolas Mangin and Mina Pizzini draw significant conclusions about the connections among higher wages, productivity and profitability from a US hotel chain’s actual results. getAbstract recommends this scholarly study to anyone charged with making compensation-related decisions.
In this summary, you will learn
- How various theories describe the connections among wages, productivity and profitability;
- Whether compensation gains actually lead to profit growth; and
- How wage increases pay for themselves with higher profitability and customer satisfaction, as well as lower employee turnover.
About the Authors
James Hesford is an associate professor at the Ecole Hôtelière de Lausanne, where Nicolas Mangin is an assistant professor. Mina Pizzini is an associate professor at the Naval Postgraduate School in Monterey, California.
Get the key points from this report in 10 minutes.
For your company
We help you build a culture of continuous learning.
Comment on this summary
Customers who read this summary also read
Pradeep Dubey and John Geanakoplos
Yale UP, 2017
Mark Muro et al.
Brookings Institution, 2015
Princeton UP, 2017
Guntram B. Wolff