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Is there a relationship between compensation and higher levels of employee performance? Please explain "yes" or...

Is there a relationship between compensation and higher levels of employee performance? Please explain "yes" or "no" providing 3 reasons to support your position.  

Please be sure to validate your opinions and ideas with citations and references in APA format.

business   Operations-Management   
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Answer #1

Yes

Firstly, compensation acts as an extrinsic motivator for employee to perform .

Secondly, compensation boosts employee's moral, that the company appreciated his/her performance. Thus, intrinsically motivating employee .

Thirdly, compensation helps employees satisfy their personal needs and desires. Thus helps boost employee morale and ultimately employee performance .

There is a direct relationship of compensation with performance. Good compensation causes high level of employee performance  

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