A hospital in a rural community is having difficulty attracting radiation therapists. The department is trying to attract young,
newly trained therapists. A decision has been made to pay these newly graduated therapists at a pay rate equivalent to that of radiation therapists who have been with the hospital for up to ten years. What compensation issue is relevant to this scenario?1) Internal equity 2) External competitiveness
3) Extrinsic rewards
4) Intrinsic rewards
Internal equity is related to the comparison of person self abilities, condition, responsibilities and rewards and the work condition with the other employees in the same position. It is the comparison of capacity in the business between two competitors so they can make a fair pay. The employee sees that they are paying fairly in comparison to their co-worker. It is even very easy for the employee to find out how much the other employees earning through the internet, word mouth, etc.
