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The High Cost of Low Wages: Does Maquiladora Compensation Reduce Turnover?

Janice S Miller, Peter W Hom and Luis R Gomez-Mejia
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Janice S Miller: University of Wisconsin-Milwaukee
Luis R Gomez-Mejia: Arizona State University

Journal of International Business Studies, 2001, vol. 32, issue 3, 585-595

Abstract: We determined which compensation practices of American-owned plants in Mexico reduced turnover. Regression revealed that profit-sharing and saving plans lowered turnover, while most pay forms did not. We discussed these findings within a national culture approach to compensation administration.© 2001 JIBS. Journal of International Business Studies (2001) 32, 585–595

Date: 2001
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