Structure of Remuneration as Assessed by Employees of the Energy Sector—Multivariate Correspondence Analysis

Abstract

Remuneration policy is an element of company management. Remuneration systems should be flexible and evolutionary. They must consider not only the changes in the external environment but, most of all, the changing needs of the internal environment. In practice, this means aligning the company’s strategy and goals with the remuneration system. What is more, the remuneration policy must be consistent with all personnel substrategies, which should systematically create integrated human capital management. The aim of our research was to determine how employees perceive the appropriate structure of remuneration and how the relationships between the elements that make up the structure of remuneration are perceived. Energy sector employees were selected for the study, dividing the group of respondents by gender, age and level of education. The obtained data were submitted to multivariate correspondence analysis. The analysis of the perception map for the variables of gender, age and education, as well as the subjective assessment of the components of remuneration, allows the general assertion that both men and women believe that the amount of the fixed part of remuneration should be influenced by such elements as: work efficiency, education, seniority in the current place of employment, position in the hierarchy of the position held, as well as the level of salaries in the labor market. But people aged 60 and over with a vocational education tend to believe that the amount of the fixed part of remuneration should be influenced by collective agreements. Moreover, people aged 25–34 with higher education believe that the granting of additional benefits should not be affected by collective labor agreements.

Multiple Correspondence Analysis in the Study of Remuneration Fairness: Conclusions for Energy Companies—Case Study of Poland

“…Correspondence analysis uses qualitative data and is used to examine the structure of relationships between categories of variables. Multiple correspondence analysis has been extensively described in the literature [55][56][57][58][59][60][61], the methodology has already been presented in the paper [62,63]).…”

Psychological and Behavior Changes of Consumer Preferences During COVID-19 Pandemic Times: An Application of GLM Regression Model

“…Starting from the contingency table describing the frequency of each association of categories of the variables analyzed, we reach a transformed set of data, summing up a correspondence matrix. To measure the relationship between the row profiles and the column profiles from the correspondence matrix, it is measured the distances between rows and columns using the χ 2 metric, considering the relations below (Barczak et al, 2021):…”

“…Once determined the ndimensional space that best represents the points derived from the data is collected, the resulting configuration is rotated to maximize the variance explained by each dimension. The inertia is determined as a weighted average of the distance χ 2 between the columns and the rows profiles (Greenacre, 2007;Barczak et al, 2021):…”