When employees perceive inequity from being under rewarded they are demotivated?
Show In the equity theory of motivation, employee’s motivation depends on their perception of how fair is the compensation and treatment for their work input. Equity Theory states that the employees perceive what they get from a job situation (outcomes) about what they put into it( inputs) and then compare their inputs- outcomes ratio with the inputs- outcomes ratios of others. The equity theory of motivation describes the relationship between the employee’s perception of how fairly is he being treated and how hard he is motivated to work. J. Stacy Adams developed equity theory. This theory show-
This theory is based on the following two assumptions about human behavior:
The essential aspects of the equity theory may be shown by an equation; There should be a balance of the outcomes/inputs relationship for one person in comparison with that for another person. If the person thinks that the rewards are greater than what is considered, he/she may work harder. If the person perceives the rewards as equitable, he/she probably will continue at the same level of output. If the person feels that he/she is inequitably rewarded, he/she may be dissatisfied, reduce the quantity or quality of output, or even leave the organization. The three situations of equity theory are illustrated in the following figure: An employee with several years’ experience can be frustrated to find out that a recent college grad hired at a salary level higher than he or she is current earnings, causing motivation levels to drop. Why? Roles played by the equity in motivation;
Equity theory demonstrates that, for most employees, motivation is influenced significantly by relative rewards as well as by absolute rewards, but some key issues are still unclear. How can under reward inequity negatively impact the workplace?Consequences of inequity
Higher levels of absenteeism might also occur, alongside tardiness; Perceived inequality can also lead to lower productivity or reduced quality of work; In the face of injustice, an employee may influence in a negative way other co-workers' inputs and outcomes.
What is perceived inequity?The perception of inequity is the result of a comparison process. Critical to the outcome of this process is the standard against which the individual makes the comparison of gains and investments.
Why employees are demotivated?One of the most significant causes of demotivation is micromanagement: Being overly zealous about what each team member is doing and when is a surefire to breed discontent, as it may be perceived as a lack of trust in other people's abilities.
When employees perceive an inequity they can be predicted to make one of six choices?When employees perceive an inequity, they can be predicted to make one of six choices: Change their inputs. Change their outcomes. Distort perceptions of self.
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