The Influence Of Different Compensation Structure Of High Rank Staff Compensation Stickiness

With the promotion of salary system and the deepening of the reform,correlation mechanism between salary and performance was formed.The public pays more and more attention on the salary currently.As a leading figure,high-rank staff compensation incentive system is the focus of academic research in recent years.Domestic and foreign scholars find that the compensation stickiness which is the asymmetric sensitivity between compensation and performance exist when the compensation was related to performance.High stickiness is not conductive to the company's future performance,so the focus in this paper is all about how to optimize the company's compensation structure,reduce the stickiness,and to have a positive effect on enterprise performance.Based on the compensation structure,considering the salary level and different forms of compensation and the specific analysis of the influence from different salary structures of executive compensation stickiness,we hope to provide useful theoretical and practical basis for enterprises to improve the incentive mechanism.First,this paper explains the background and significance of the research.Based on the related concepts of compensation structure,executive compensation stickiness,domestic and foreign scholars' research and theoretical basis,we describe the research ideas and frameworks.Then propose hypothesis and the data model.According to the empirical analysis,it is found that among all kinds of compensation structures,there is a negative correlation between monetary compensation and compensation stickiness.However,the influence of perquisite consumption and equity compensation on compensation stickiness is rather complicated.In the structure of low monetary compensation,as a substitute for monetary compensation,perquisite consumption can decrease the compensation stickiness by increasing its quantity.However,it can not decrease the compensation stickiness in high monetary compensation structures.Equity compensation is opposite to the perquisite consumption on the treatment of stickiness.Because of the existence of interval effect,high equity compensation has small effect on the enterprise performance,while in the high monetary model,stock incentive can decrease the compensation stickiness.Every compensation element in the two structures is negatively correlated with compensation and the two structures which are low monetary compensation + high perquisite consumption and high monetary compensation + low expenses in-office + equity compensation respectively are reasonable combination of the all eight structures.Depending on their own situation,companies can arrange the compensation structures reasonably.At last,this paper provides some suggestions for the optimization of the compensation structures through the empirical analysis,points out some problems existed in the paper and provides support for further research.