Examination of Sex Differences in Expectations of Pay and Perceptions of Equity in Pay

Abstract

A sample of 72 undergraduate business students was tested to examine the effects of sex on expectations of pay and perceptions of equity in pay. The respondents completed a questionnaire which assessed their expectations for the range of starting salaries for 1988 graduates in their own major, and the salary levels which would make them feel overrewarded and underrewarded. Multivariate analyses of variance performed upon six dependent variables related to perception of pay gave significant over-all main effects for sex. Specifically, men, relative to women, had lower tolerance for underpayment and expected higher starting salaries at the lowest and next lowest points on a salary range which they expected to apply to 1988 graduates in their major fields. No differences were found in tolerance for overpayment or for the two high end-points of the salary range.