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Cheating in the workplace: An experimental study of the impact of bonuses and productivity

Abstract:

We use an online real-effort experiment to investigate how bonus-based pay and worker productivity interact with workplace cheating. Firms often use bonus-based compensation plans, such as group bonuses and firm-wide profit sharing, that induce considerable uncertainty in how much workers are paid. Exposing workers to a compensation scheme based on random bonuses makes them cheat more but has no effect on their productivity. We also find that more productive workers behave more dishonestly. T...

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Publication status:
Published
Peer review status:
Peer reviewed

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Department:
Economics, University of Oxford
Role:
Author
Publisher:
Elsevier Publisher's website
Journal:
Journal of Economic Behavior and Organization
Volume:
96
Pages:
120–134
Publication date:
2013-10-10
Acceptance date:
2013-09-22
DOI:
ISSN:
0167-2681

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