The influence of opportunity and type of wage negotiation on the pay satisfaction and trust in management: Exploratory study

Abstract

The studies about negotiation have been conducted in the various research fields. However, despite of its importance of employees’ concern, the number of studies for wage negotiation was few. Specifically, there have been no empirical studies directly examined the influence of participation of wage negotiation on the employees’ pay satisfaction and trust in Korea. The purpose of this study was to examine the influence of the opportunity and type of the wage negotiation on the pay satisfaction and trust in management. Data were collected from 315 workers employed in a variety of organizations in Korea and hierarchical multiple regression and MANCOVA were conducted to test hypothesis. The results of regression analysis indicated that the providing opportunity of wage negotiation have positive influence on the level of pay satisfaction and trust in management. Also, union negotiation rather than individual negotiation have positive influence on the level of pay satisfaction and trust in management. In addition, the results of MANCOVA was similar with that of regression analysis, however, there was no significant difference for trust in management and satisfaction of pay policy and management between union negotiation and individual negotiation.