The impact on motivation following the introduction of sustainability-based bonus-pay

Abstract

This small study investigates employee motivation following the introduction of a sustainability-linked financial incentive at a waste management company. Self-determination theory is used as a framework to explore the initial impact the bonus had on employees’ motivation to achieve sustainability goals since its introduction in January 2021. The case study explores the relationship between the extent to which the three basic psychological needs were met and the subsequent bearing this had on motivation. The findings highlight the importance of other factors such as company culture and the specific, moral intentions linked to sustainable acts, diminishing the importance of the three psychological needs being met.