THEORY 27

ADAMS’ EQUITY THEORY

Use this to understand how people act when they perceive they are treated differently from another member of staff.

Stacy Adams’ equity theory is based on the principle that people are motivated to act in situations where they perceive they have been treated inequitably or unfairly. Adams argues that the more intense the perceived inequity, the higher the tension, and the stronger the motivation to act.

The figure below tracks the perceptions of two different people. A who feels s/he deserves to be treated better than B. And B who feels guilty at not working as hard as A.

Illustrator

A stalemate occurs if neither or both actions take place (e.g. A getting a raise and B working harder simply replaces the focus of the tension).

Employees who perceive inequity will seek to address it by reducing their level of effort, increasing their pay or leaving the organisation.

HOW TO USE IT

  • Look for the signs of discontent including sulking, passive or aggressive behaviour, tensions between two or more members of staff, snide remarks during meetings or conversations and general ‘dark mutterings’.
  • Accept that any sense of inequity stems from the person’s perception of how unfairly they have been treated. Such perceptions are seldom based on fact but are driven by emotions.
  • Accept that the extent of de-motivation is proportional to the degree of perceived disparity in treatment. You will find that some people feel a huge sense of unfairness at the slightest indication of inequity.
  • Recognise that you are dealing with emotions and that they are never logical. Telling someone they are wrong is not always going to work.
  • Meet with the person/s concerned. Allow sufficient time for the meeting, it’s not going to be done and dusted in ten minutes. Let each person tell their story and blow off steam without interruption. This by itself will lower the temperature.
  • Many people have misconceptions about what is equitable. Some have delusions of adequacy and an inflated view of their importance to the organisation. If they are not as indispensable as they think you need to tell them. They won’t like it but you must confront them with the reality of the situation. Not what they think it is (see Theory 92).
  • If you discover that inequality exists, deal with it. And while you are at it, check if your dispute is just a symptom of a wider problem in the organisation.

QUESTIONS TO ASK

  • What is the precise problem I am facing?
  • Is it a problem of recognition masquerading as an issue about pay or conditions?
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