The equity theory of motivation, the leader and the employee have equal perceptions of performance.

Question

Quizplus · Accepted Answer

Equity theory of motivation suggests that individuals are motivated by fairness, and if they perceive an inequity in the input or output ratios compared to others, it can lead to demotivation. It does not imply that leaders and employees have equal perceptions of performance; rather, it focuses on the balance or imbalance of perceived effort and rewards.

The Equity Theory of Motivation, the Leader and the Employee