Research Proposal

Proposed Research Topic: Impact of performance based distributive justice, comparative

justice with expatriates and comparative justice with local colleagues on compensation
fairness system
Introduction & Background:
Employees productivity is the most important factor for the development of any type of
industry, similarly working for the compensation is also the important force. For the
development of any type of organizational productivity, satisfaction or motivation in the
employees the main task is to develop the fairness in compensation system, which definitely
works when the organization or the industry follows performance based distributive justice,
comparative justice with expatriates, and comparative justice with local colleagues. According
to the development of the employees productivity, satisfaction and motivation the compensation
fairness system is of core importance.
Problem statement:
Compensation system fairness was selected as one of the significant problem. The problem is
Compensation system fairness. Since most of the employees are belong to the diversified
cultures and different ethnic background, different age group and educational levels employees
work in the organization.
Research Objective:
To determine the relationship among performance based distributive justice, Comparative
justices with expatriates, and Comparative justices with local colleagues with compensation
fairness system

Research Questions:
Q1. Is there any relationship among performance based distributive justice, Comparative
justices with expatriates, and Comparative justices with local colleagues with compensation
fairness system?
Limitations:
Finally the research is restricted in Karachi partially due to the limited time and convenience.
Variable:
Compensation system selected as a dependent variable in the report. Likewise, (Performance
based distributive justice, Comparative justice with expatriates, Comparative justice with local
colleagues.).
Research Model:

Performance based
distributive justice

Comparative
justice with
Methodology:
expatriates

Comparative justice with

local colleagues

Compensation system
fairness

Hypotheses:
H1: There is a significant relationship between Performance based distributive justices and
Compensation system fairness.
H2: There is a significant relationship between Comparative justices with expatriates and
Compensation system fairness.
H3: There is a significant relationship between Comparative justices with local colleagues and
Compensation system fairness.
H4: There is a significant impact of performance based distributive justice, comparative justice
with expatriates and comparative justice with local colleagues on compensation system fairness.
Metodology:
The instrument or tool which is used in the study is questionnaire which consists of closed
ended structured questions have 3 sections i.e. A, B, and C. The section A was based on the
questions about two independent variables i.e. performance based distributive justice and
comparative justice with expatriates that are measured on five point using equal fixes(strongly
disagree is denoted by 1, disagree is denoted by 2, neither agree nor disagree is denoted by 3,
agree is denoted by 4, strongly agree is denoted by 5). While third independent variable i.e.
comparative justice local colleagues were measured on five-point using equal fixes (very fair
denoted by 1, unfair denoted by 2, neither fair or unfair denoted by 3, very unfair denoted by 4
and very fair denoted by 5)
Second section is based on the questions that was asked about the one dependent variables i.e.
compensation system fairness which is also measured on five-point. All questions of the
questionnaire about our 4 variables were adopted from the previous researchers. The 5 items of
the scale for performance based distributive justice was adopted from Moorman (1991), 5 items
of the scale for comparative justice with expatriates was adopted from the previous researchers
who developed the questionnaire by conducting the interviews from the respondents to generate
the items, 2 items of the scale for comparative justice with local colleagues was adopted from
Rice, Philips and McFarlin (1990), Leung (1996) and 5 items of the scale for compensation
system farness was adopted from Moorman (1991)
Third section was based on the general information as well as demographics of the respondents
like age, education, gender and marital status. The detailed questionnaire is presented at the end
of study

Data collection
The data is collected through primary research, structured, closed ended questionnaires using
survey which are self-administered. The questionnaires were distributed among the employees
of the company
Statistical technique
Statistical analysis requires the software SPSS for reliability, standard deviation, mean, validity,
descriptive statistics, MLR (multi linear regression) and Pearson correlation for analysing the
impact between variables.
Conclusion:
This study is aimed to construct a path that will help the HR practitioners to understand the
importance of performance based justice in the organization which will leads to the
compensation fairness system, so that the employees will definitely feel motivated while
working in the organization, employees productivity will increase and the satisfaction in the
staff helps in moving the organization in a better direction. Compensation systems may affect
employees job satisfaction. Opkara (2004) and Samad (2007) declared that if environment of
organization or job i.e. team members, compensation and management are suitable for the
employees or labour force the commitment towards work are high as compared to if they are not
contented. Furthermore the behaviour of the employees will moves towards the positive area in
which they feel that the organization supports their skills and that is the reason the employees
becomes more and more loyal with the work which is assigned to them, HR practice is the one
in which the whole research has been conducted, the difference in the results may exhibit as the
compensation or the benefits are different in every organization. Due to which the study helps in
providing the solutions regarding the issues of compensation. A number of articles supported
our study with the same variables which are performance based. Distributive justice,
comparative justice with expatriates and comparative justice with local colleagues. The above
mentioned variables are closely examined in the whole research which clearly concludes that
any organization will increase the level of motivation and employees productivity if proper
benefits and compensation is provided to the workers and the whole structure of the company
will performs at the best level that they need to provide to the whole organization.

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