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Why Pay-For-Performance Plans Don’t Work

Doesn’t pay-for-performance just seem like a great idea? It is simple, basic behavioral psychology, right? A dog does what you want, you give them a bone. A person does what you want, you give them $100. Or some recognition, like Employee of the Month. But, believe it or not, there have been dozens of scientific studies and several case studies that show that pay for performance doesn’t work. And it makes sense, when you really think about it. Because what the real-life examples and the science reveals is that when someone does a task for a reward, it no longer …Read more »

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