Effects of inter- and intra-hierarchy wage dispersions on firm performance in Chinese enterprises

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journalpeer-review

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Original languageEnglish
Pages (from-to)2370-2381
Journal / PublicationInternational Journal of Human Resource Management
Issue number11
Publication statusPublished - 2009


This study examined the impact of inter- and intra-hierarchy wage dispersions on company performance based on a sample of 395 Chinese enterprises. It was hypothesized that (1) inter-hierarchy wage dispersion between managers and workers is positively related to firm performance and (2) intra-hierarchy wage dispersion within manager and worker groups is negatively related to firm performance. Results based on regression analysis confirmed the first hypothesis and showed partial support for the second. Practical and policy implications are discussed in the context of China's transitional economy. © 2009 Taylor & Francis.

Research Area(s)

  • China, Chinese enterprises, Company performance, Economy, Firm, Policy, Wage structure, Wages