Pay in Motivation

Financial Rewards

Employers who use money to motivate employees may find that the overall response from both men and women is nearly the same. Raises, bonuses and other monetary rewards may only be a short-term motivator for both genders, according to a 2011 article from the University of Phoenix business school. An employee’s motivation may rise for a brief time after he receives a pay increase. However, the article notes studies that show employees often increase their spending after receiving a raise, which consumes their additional pay. That potentially lowers their motivation to its previous level because their financial situation remains unchanged.


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