What would be the predicted result of overpaying a piece-rate worker, according to the equity theory?
A) quality will improve
B) quantity will increase
C) quality will degrade
D) quantity will decrease
E) the employee will leave the job

Question

Quizplus · Accepted Answer

B) When a person sees himself as overrewarded, it creates guilt. In order to reinstate a sense of equity, according to equity theory, the worker will change his inputs (exert more if overpaid). He will increase the quantity or the quality of the work. Since the worker in this case is a piece-rate worker, instead of increasing quantity, the worker is more likely to improve the quality of work.

What Would Be the Predicted Result of Overpaying a Piece-Rate