Pay for Performance with Motivated Employees

Heterogeneity in intrinsic motivation affects the optimal contract offered to employees in teams. Under individual incentives, the effort exerted by both motivated and selfish employees is distorted. This distortion is mitigated if employees receive a wage based on team performance. As a result, the...

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Detalles Bibliográficos
Autores: Cerrone, Claudia, Manna, Ester
Tipo de recurso: artículo
Estado:Versión aceptada para publicación
Fecha de publicación:2018
País:España
Institución:Universidad de Barcelona
Repositorio:Dipòsit Digital de la UB
OAI Identifier:oai:diposit.ub.edu:2445/121263
Acceso en línea:https://hdl.handle.net/2445/121263
Access Level:acceso abierto
Palabra clave:Motivació del personal
Incentius laborals
Selecció de personal
Employee motivation
Incentives in industry
Employee selection
Descripción
Sumario:Heterogeneity in intrinsic motivation affects the optimal contract offered to employees in teams. Under individual incentives, the effort exerted by both motivated and selfish employees is distorted. This distortion is mitigated if employees receive a wage based on team performance. As a result, the principal prefers to use team incentives, while motivated employees are better off with individual incentives.