BU288 Chapter Notes - Chapter 6: Job Rotation, Problem Solving, Absenteeism
Document Summary
The money that employees receive in exchange for organizational membership is in reality a package made up of pay and various fringe benefits that have dollar values. According to maslow and alderfer, pay should prove especially motivational to people who have strong lower-level needs. According to expectancy theory, if pay can satisfy a variety of needs, it should be highly valent, and it should be a good motivator to the extent that it is clearly tied to performance. Piece rate: a pay system in which individual workers are paid a certain sum of money for each unit of production completed. Wage incentive plans: various systems that link pay to performance on production jobs. Merit pay plans: systems that attempt to link pay to performance on white-collar jobs. There is some evidence that pay is not related to performance under some merit plans. Cannot compare salaries, so it damages the motivational impact.
