Employee motivation is influenced significantly by relative rewards as well as absolute rewards. This would be advanced in the:

Question

Quizplus · Accepted Answer

The equity theory of motivation suggests that employees are motivated not only by the absolute level of rewards they receive, but also by the relative rewards they receive in comparison to others. In other words, employees want to be treated fairly in relation to their peers. This theory emphasizes the importance of perceptions of fairness and equity in determining employee motivation.

Employee Motivation Is Influenced Significantly by Relative Rewards as Well