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Week 8 Blog

Compensation is a great way when used effectively to encourage employees to find motivation and work harder toward the promise of a reward that awaits them. It’s important to understand what you’ll be receiving and what you’ll need to accomplish in order to gain the offered compensation, however, as there are many times when what is offered is not explicitly stated and is too good to be true. The example that I best remember of someone changing their behavior due to compensation or lack thereof in this case was when I used to work at a restaurant as a busser. Me and a coworker would get tipped out by the servers for 1% at the end of every day which resulted in a nice bonus to look forward to on top of our paychecks. When we first started working at the restaurant we noticed that the amount that we had been getting tipped out was gradually lowering over, much to our dismay. One particular day one of the servers did not tip us out at all which they were required to do. As a result of this happening my coworker became upset and began to put less and less effort in until he eventually left the restaurant for a better opportunity. This event in relation to compensation made me realize that once compensation is offered it shouldn’t be rescinded, unless done for the right reasons, because it can lead to lower motivation and willingness to put forth effort.

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