How valuable an employee feels and how much an employee is paid, are the two main reasons for an employee's decision to stay with an organization and builds loyalty. Being fair means that the remuneration amount was determined in an objective manner based on merit without any favor or prejudice.

Renumeration will typically be perceived as fair if it is designed with a system of components including job descriptions, job analyses and evaluations, and pay structures. The four elements of the Fair Remuneration Framework include minimum wage, living wage, equal pay and gender pay gap.