This study is an application of equity theory to an examination of the effects of implementing a two-tier wage structure. Using data from 1,935 employees in retail stores, we assessed commitment to union and employer, perceived pay equity, and the union's perceived instrumentality regarding pay. Significant multivariate and univariate differences emerged for wage tier, part- or full-time status, and?among low-tier employees?work location. Results generally suggest that equity theory appears as a useful conceptual framework for examining two-tier wage structures.

This study investigated commitment patterns among stewards and among rank-and-file union members. Stewards had a higher frequency of both dual and unilateral union commitment than did the rank and file. Positive union-management relations, high job satisfaction, and positive union decision-making practices were consistently related to high dual commitment. High union involvement, positive perceptions of union decision-making practices, and low job satisfaction were consistently related to unilateral union commitment. An explanation of the findings based on exchange theory is offered.