Organizational behavior, payment, incentive, motivation, pay, employee motivation, salary, working conditions, motivated workforce, effectiveness of pay, satisfaction of employees
Motivation, which can be defined as a psychological feature that drives an individual to act toward desirous goals, is a major topic of organizational behavior. With the increasing importance of work efficiency, more managers start to realize the existing issue of employee motivation. According to research, above 70 percent of employees in America are not highly engaged in workplace (Wagner & Harter, 2006). Hence, various motivators are applied by managers to enhance employee performance. Payment, which is a significant work attribute, has been considered as a controversial motivator of employee behavior. Although many people believe payment is not an effective incentive, it is true that it can to some extent motivate employees.
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[...] In addition, research on employee behavior demonstrably shows that payment is a significant motivator as it can assist in satisfying other desirable needs (Lawler, 1971). For instance, referring to Maslow's hierarchy of needs (1943), in addition to lower-order needs such as food and safety, higher payment can also contribute to improving life standard and social status, which indirectly helps fulfilling higher-order needs including esteem and self- actualization. It also explains the situation why most employees regard high salary as a part of personal achievement and pay continuous effort on promotion (Trank, Rynes and Bretz, 2002). [...]
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