This is a theory that states that individuals make choices according to what they anticipate will give them the most payoffs. When applied to salaries, it follows that employees must hold the belief that the greater the effort that they make, the better their performance will be (the greater their results) and therefore the higher the salary they will command.

ERI's 2026 Benefits Benchmarking Survey Highlights
Read More
United States and Canada Minimum Wage Updates - June 2026
Read More
Do Geographic Pay Differentials Account for Inflation?
Read MoreWHITE PAPERS

National Compensation Forecast April 2026
Read More
Compensation Strategies for Remote Work and Organizational Culture – Fall 2025
Read More
Planning Global Compensation Budgets for 2026 - January 2026
Read More
Common Compensation Terms and Formulas - January 2026