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Appears in Collections:Psychology Journal Articles
Peer Review Status: Refereed
Title: Performance-related Pay: Mental and Physiological Health
Author(s): Andelic, Nicole
Allan, Julia
Bender, Keith A
Powell, Daniel
Theodossiou, Ioannis
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Keywords: performance-related pay
sample selection
payment contracts
Issue Date: 16-May-2024
Date Deposited: 9-Oct-2023
Citation: Andelic N, Allan J, Bender KA, Powell D & Theodossiou I (2024) Performance-related Pay: Mental and Physiological Health. <i>Industrial Relations</i>.
Abstract: Much of the literature on performance-related pay (PRP) and poor health relies on self reported data, and the relationship is difficult to examine due to confounding variables. We examine the relationship between PRP and three groups of health measures using data from the UKHLS: blood pressure, inflammation markers in blood and self-reported health. Regressions correcting for self-selection bias and socio-demographic covariates find that PRP contracts are associated with poorer mental health, higher systolic blood pressure and higher levels of fibrinogen. These findings suggest that firms that use PRP may need to implement policies to mitigate against PRP-related stress.
DOI Link: 10.1111/irel.12334
Rights: © 2023 The Authors. Industrial Relations published by Wiley Periodicals LLC on behalf of Regents of the University of California (RUC). This is an open access article under the terms of the Creative Commons Attribution License, which permits use, distribution and reproduction in any medium, provided the original work is properly cited.
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