This is an HR COMPENSATION question. I am trying to understand the concepts of “COMPENSATION”, “EXTERNAL EQUITY”, and how it can effect SATISFACTION to the employee. I need a detailed, intelligent response that really explains these HR theories as it would apply to a advanced practioner, not just an opinion. I don’t understand how this is related to job performance, in detail.

Even though employees’ job satisfaction is comprised of many things (the work itself, coworkers, supervisors, promotional opportunities), many job seekers focus almost exclusively on a company’s compensation package in determining whether to accept the job. Why do you think that is?