Finding Out Your Coworkers Make More Than You Can Affect Your Work Ethic

A pay transparency study has found that learning your coworkers make more than you thought can be demotivating. The  study took place at a large commercial bank in Asia and involved in about 2,000 employees at all levels of the organization. Researchers asked employees to guess the salaries of their managers.  About half of the employees were given the correct higher number and the other half were not given the correct number. In the year that followed, the researchers analyzed company data on when the employees clocked in and out of work, their email activity and sales performance. Results showed that employees who found out their manager was paid 10% more  motivated them to work harder. They thought spent 1.5% more hours in the office, sent 1.3 more emails and sold 1.1% more. The numbers were higher for employees who earned the salary of managers relatively close to them in the corporate pecking order. Meanwhile, employees who found out their peers were paid 10% more spend 9.4% fewer hours in the office, sent 4.3%  fewer emails and sold 7.3% less.

(Business Insider)