Cover page

Essay Title

Money as a motivator for employees

(Word count 700 Approx.)

Essay Type
The pros and cons of money as a motivator at workplace for employees.

Essay Query

To what extent is money a motivator for employees?

Thesis Statement

It is outside saying that money is inevitable for everything but in some ways it may
not be valued in the eye of an employee.

Money, a motivator for employees at workplace

Table of contents
1. Introduction
2. Money as motivator
a. Personnel Motivation
b. Money, stimulation and employer’s relationship with employees
c. The true “depiction”
3. Conclusion

Introduction

Money makes the world go round and nowhere is this more true than in the
workplace. Employees get money as one of the best motivators. Is in whatever
shape, bonuses or cash awards, always the best way to employees? To answer this
question I’ll give pros and cons of taking money as a reward in cash. Considering the
money the engine of everything but sometimes it may not be enough to keep this
blaze in the eye of the worker.

Money and Motivation

Several theories of motivation consisting Maslow’s hierarchy of needs,

Reinforcement and Expectancy Theories alongwith historical background have set
up the importance of material advantages in both social and economic perspective.
(Maslow, 1943, p. 375)

Basically all managers implement a lot of effort to make the workplaces of

their companies look attractive for vocational employees, but to pay salary just is not
enough now-a-days. An employee, working for money only will leave the work at the
very minute of its end and do nothing above his duly regulations. Meanwhile
employees in cooperate-sector have also been categorised on the basis of their
wants. From lower level to high coterie might have different approaches including
handsome salary packages and privileges.

Personnel Motivation

Money is one of the four motivational factors for employees because of

compensation plan. For employers need honest labor, time and many other things
from employees. On the other hand employees get salaries, bonuses and other
financial encouragements. So this compensation plan existed in company, we can
analyse the capabilities of money as a motivator at work. Furthermore, the author
discussed in his research study The Link between Pay and Performance jotted down
that pay often linked with rewards and appreciations, the performance level of
employees can be raised ( Peter Reilly, 2003).

Money, stimulation and employer’s relationship with employees

In order to know what actions should be financially encouraged and what not.
It has to make clear to employee the criteria of his tasks. If it is not clearly mentioned
to employees, it may create misunderstanding between employer and employee. For
this every employee should feel his importance for company. This stimulation helps
in making money a good motivator. Money is amongst fourth way that exhort
employees to perform well.

The True depiction

According to Maslow’s theory and all possible critically analysis what is made
on its basis of the problem of the money as a motivator tends to the conceiving that
worker will never express his potential because of money motivation.

Money motivation tends to increase at age of 24-30 in employee’s life and

wants to get retired financially independent. So money motivation is for short period
of time and can’t move a person onward constantly. However, taking money as a
motivating factor consists of several negative aspects as well on an organization’s
performance.
 Firstly, high-salaried employees on increasing the salaries just will not be
effective to fulfil other requirements.

Secondly, linking pay with performance may lead to controversies amongst

employees and thirdly, competition between employees demolishes the team work.
Win-win situation, as described in the book titled Seven Habits of Highly Effective
People, success at any level of the life including organisational growth can be
attained by team work and cooperation. (Covey, S.R. 1991)

Conclusion

From above pros and cons of money as a motivator , it is deduced that money
only is not a motivator that should be used at work. Many misunderstanding may
cause to happen if it takes money as the only motivator and employee’s peculiarities
can’t be taken into account. There are employees of different types. Some need
authority, some need power, some of them prefer money and some choose stability
and many other preferences.

So it is essential to understand the status and psyche of each employee. A

successful employer should be a employee mover, motivating employees for
improved result rather than motivating money only.
 References

1. Reilly, P., 2003. New approaches in reward: Their relevance to the public
sector, public money and management, 23 (4), pp. 245-252.
2. Covey, S.R., 1991. The 7 habits of highly effective people. New York, NY.:
Simon & Schuster. Available from: <http://bhls.wordpress.com>. [8 March,
2017]
3. Maslow, A.H., 1943. A Theory of Human Motivation. Psychological Review,
50 (4), 370-96, Available from m.simplypsychology.org, [8 March, 2017]
4. Jan, K.A., 2014. Money as a Motivator, Fudan Business Knowledge, Available
from: bi.edu. [8 March, 2017]