3 ms·
I imagine he'll be getting calls from management theorists wanting to do some long term studies to see what happens to happiness, motivation etc. Traditional m
by cmdkeen 12y ago
I imagine he'll be getting calls from management theorists wanting to do some long term studies to see what happens to happiness, motivation etc.
Traditional management theory has that money is a poor motivator because the effects wear off quickly and people soon come to believe they are "worth" their pay increase. Other perks / benefits are often valued disproportionately more than money.
Now a massive pay rise that takes people out of a problematic income zone may completely upend that, or over time it might have unintended negative consequences. Off the top of my head I wonder what consequences might be for the workers who were on higher salaries now perhaps feeling relatively under compensated.
- wwweston 12y agoIf I recall correctly (I'm thinking this is from some of Daniel Pink's work), some recent studies show that more money does help up to the point where employees basically don't have to think about their own material problems... and can therefore focus on solving their employer's problems. And beyond that, it's a poor motivator. My guess is that the ~$70k mark is about right for ensuring middle class security outside of major metro areas.