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Tournaments without prizes: evidence from personnel records

Blanes i Vidal, Jordi and Nossol, Mareike (2009) Tournaments without prizes: evidence from personnel records. CEP Labour Market Workshop, Centre for Economic Performance, London School of Economics and Political Science, London, UK.

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Abstract

We use a quasi-experimental research design to study the introduction of a relative performance evaluation without introducing relative performance pay. The setting is a firm in which workers are paid piece rates and where, at some point, management begins to reveal to workers their relative position in the distribution of pay and productivity. We find that merely providing this information leads to a large and permanent increase in productivity that is costless to the firm. Our findings are consistent with the interpretation that workers' incipient concerns about their relative standing are activated by information about how they are performing relative to others.

Item Type: Monograph (Working Paper)
Official URL: http://cep.lse.ac.uk/seminarpapers/09-03-09-BLA.pd...
Additional Information: © The Authors
Library of Congress subject classification: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Journal of Economic Literature Classification System: J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J33 - Compensation Packages; Payment Methods
M - Business Administration and Business Economics; Marketing; Accounting > M1 - Business Administration > M12 - Personnel Management
M - Business Administration and Business Economics; Marketing; Accounting > M5 - Personnel Economics > M52 - Compensation and Compensation Methods and Their Effects (stock options, fringe benefits, incentives, family support programs, seniority issues)
M - Business Administration and Business Economics; Marketing; Accounting > M5 - Personnel Economics > M54 - Labor Management (team formation, worker empowerment, job design, tasks and authority, work arrangemetns, job satisfaction)
Sets: Research centres and groups > Managerial Economics and Strategy Group
Collections > Economists Online
Rights: http://www.lse.ac.uk/library/usingTheLibrary/academicSupport/OA/depositYourResearch.aspx
Date Deposited: 26 Jan 2011 14:42
URL: http://eprints.lse.ac.uk/31722/

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