Main Entry: com·pen·sa·tion

Pronunciation: \ˌkäm-pən-ˈsā-shən, -ˌpen-\

Function: noun

Date: 14th century

1 a : the act of compensating : the state of being compensated b : correction of an organic defect or loss by hypertrophy or by increased functioning of another organ or unimpaired parts of the same organ c : a psychological mechanism by which feelings of inferiority, frustration, or failure in one field are counterbalanced by achievement in another
2 a (1) : something that constitutes an equivalent or recompense <age has its compensations> (2) : payment to unemployed or injured workers or their dependents b : payment, remuneration <working without compensation>

— com·pen·sa·tion·al \-shnəl, -shə-n^əl\ adjective