Green-Circle and Red-Circle Rates

operationalbehavioral · compensation · count · organization

Counts employees paid outside their salary range, either below the minimum (green-circle) or above the maximum (red-circle).

Why it matters

What you measure connects, through the construct(s) it operationalizes, to outcomes organizations care about. The strongest evidenced links below (effect size × evidence × consequence):

How it’s computed

Formula
Measurement model
operational (a formula over systems data) — not a reflective survey scale; “reliability” here means data quality, not internal consistency

What it operationalizes

This metric measures the construct(s) below from operational data. Through them, it connects to the meta-analytic relationship network — the bridge from what you measure operationally to what the science knows.

What we know

Synthesized Bayesian priors over relationships involving this metric’s construct(s) — the meta-analytic evidence, with 95% confidence intervals and between-study heterogeneity (I²). Follow a row for the full distribution, contributing studies, and code.

Relationshipr (95% CI)kEvidence
Job Satisfaction (correlates)[-0.04, 0.33]1meta-analytic
Pay Satisfaction (correlates)[0.04, 0.41]1meta-analytic
Job Satisfaction (predicts)[-0.04, 0.33]1meta-analytic
Pay Satisfaction (predicts)[0.04, 0.41]1meta-analytic
Voluntary Turnover (predicts)[-0.11, -0.07]1meta-analytic

The evidence

Attributed quotes from open-access papers, classified for stance against the relationship. Sourced and classified by Principia (no third-party feed) — displayable under each paper’s license.

For example, a meta-analysis found that pay level had a weak relationship with pay satisfaction, which is a form of subjective perception of salary [27]. disputes

Pay levelJob Satisfaction · Linking Preschool Teachers’ Pay Equity and Turnover Intention in Chinese Public Kindergartens: The Mediating Role of Perceived Organizational Support and Job Satisfaction (2023) · doi · CCBY

According to a different study by Judge et al. (2010), salary level and money attitude are only tangentially connected to job satisfaction. disputes

Pay levelJob Satisfaction · Does Attitudes Towards Money Matter? A Mediational Analysis of Job Crafting and Job Satisfaction in School Teachers (2023) · doi · CCBYNC

According to a different study by Judge et al. (2010), salary level and money attitude are only tangentially connected to job satisfaction. disputes

Pay levelPay Satisfaction · Does Attitudes Towards Money Matter? A Mediational Analysis of Job Crafting and Job Satisfaction in School Teachers (2023) · doi · CCBYNC

Judge et al. (2010), Yaseen (2013), and Bashir et al. (2011), showed that the level of pay and a better structured compensation system have a positive relationship with employee satisfaction. supports

Pay levelPay Satisfaction · Effects of the Compensation System and Socio-demographic Factors on the Attitudes of Employees in the Republic of Serbia (2023) · doi · CCBYNCND

It has also been found that higher-income workers have better levels of job satisfaction, which can counter-act some of the consequences of overtime work (Acker, 2018; Judge et al., 2010). supports

Pay levelJob Satisfaction · Working Overtime and Turnover Intention Among Chinese Social Workers: Roles of Organizational Identity and Individual Income (2025) · doi · CCBY

For example, a meta-analysis found that pay level had a weak relationship with pay satisfaction, which is a form of subjective perception of salary [27]. supports

Pay levelPay Satisfaction · Linking Preschool Teachers’ Pay Equity and Turnover Intention in Chinese Public Kindergartens: The Mediating Role of Perceived Organizational Support and Job Satisfaction (2023) · doi · CCBY

A meta-analysis in 2010 found that pay level is positively correlated with both overall job satisfaction and pay satisfaction; and the level of pay bears a positive, although modest, relationship to the job and pay satisfaction (27). supports

Pay levelJob Satisfaction · A Unique Model of Performance-Based Premium Pay System in the Radiology Departments (2023) · doi

A meta-analysis in 2010 found that pay level is positively correlated with both overall job satisfaction and pay satisfaction; and the level of pay bears a positive, although modest, relationship to the job and pay satisfaction (27). supports

Pay levelPay Satisfaction · A Unique Model of Performance-Based Premium Pay System in the Radiology Departments (2023) · doi

Use it

Track Green-Circle and Red-Circle Rates and its drivers in the People Analytics Toolbox — the registry’s evidence wired into deployable measurement.

Related metrics

Compa-Ratio

Compares an individual's salary to the midpoint of their job's pay range to gauge where they sit relative to the market rate for full competence.

Internal Pay Equity

Analysis of pay differences across gender, ethnicity, or other protected classes, controlling for role and level.

Range Penetration

Shows how far an individual's pay has progressed through the assigned salary range.

Programmatic access: /api/v1/metrics/metric.green_red_circle_rates · /api/v1/evidence-statements?construct=construct.pay_level.