Disentangling Job Satisfaction: The Roles of Monetary and Non‐Monetary Factors Across Job Types and Income Levels

ABSTRACT We examine how specific components of job satisfaction influence overall job satisfaction and how these vary by job type and income. We use the British Household Panel Survey (BHPS), which includes measures of satisfaction with total pay, job security, type of work and hours worked. Our results show significant variation in the composition of job satisfaction across job types and income levels. First, we find that pay satisfaction is less important in explaining overall satisfaction than other non‐monetary aspects. However, individuals in some job types systematically rate the monetary aspects of their job more highly than others. In addition, job satisfaction of individuals with different income levels is explained differently by job satisfaction domains. Our results are robust when we narrow down the sample by considering factors such as gender (males or females), employment type (full‐ or part‐time) and further job satisfaction components.