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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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Institution:
University of Oxford
Division:
SSD
Department:
Economics
Role:
Author
Zvi Meitar/Vice-Chancellor Oxford University Social Sciences Research Grantt More from this funder
Economic and Social Research Council More from this funder
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
Keywords:
UUID:
uuid:9bfafb86-e6d9-4a50-9727-256bb916c3cb
Deposit date:
2014-12-30

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