CORDIS Project
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This project examines the impact of wage transparency on employee motivation and satisfaction. By analyzing how wage information affects negotiations and social norms within companies, it aims to provide insights for designing effective incentive systems and addressing discriminatory practices.
How much information about the wage structure should a company provide to its employees?
Existing research in economics does not provide clear recommendations in this respect.
Transparent information about the wages within a company may have a positive impact on employee satisfaction and motivation, because wage secrecy creates distrust and favours discriminatory practices.
Yet, it is unclear whether the benefits of wage transparency are larger than the potential harm:
Unequal wage profiles, if…
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