In applying equity theory in the workplace, effective managers realize that
A)employees must consider their outcomes equal to the outcomes of their co- workers.
B)overrewarded employees perform best.
C)underrewarded employees perform best.
D)for rewards to motivate employees, employees must perceive them as being fair.

Question

Quizplus · Accepted Answer

Equity theory suggests that employees are motivated when they perceive fairness in the workplace, especially in terms of rewards and recognition. If employees believe that their rewards reflect their efforts and contributions fairly, especially in comparison to their peers, they are more likely to be motivated and satisfied. This is why effective managers focus on ensuring that rewards are perceived as fair by their employees.

In Applying Equity Theory in the Workplace, Effective Managers Realize