Research: Why Employees Accept Lower Pay at Mission-Oriented Companies

by Insiya Hussain, Marko Pitesa, Stefan Thau and Michael Schaerer

July 27, 2023

Illustration by An Chen

Summary.

In an amusing episode of the HBO sitcom Silicon Valley, one awkward startup founder after the other pitches their company by proclaiming that it “makes the world a better place.” The satirical comedy highlights how common it has become for companies to tout how their work benefits human welfare.

Insiya Hussain is an Assistant Professor of Management at McCombs Business School, University of Texas, Austin. Her research focuses on understanding how employees can overcome the challenges of speaking up at work to share their ideas and opinions, advocate social issues, and negotiate for personal rewards. Twitter: @Insiya_H

Marko Pitesa is associate professor of organizational behavior and human resources at Singapore Management University. His research examines workplaces from the perspective of inclusion and ethics with a particular focus on understanding the sources of economic disadvantage and inequality in organizations.

Stefan Thau is a professor of organizational behavior at INSEAD, Singapore. He studies social interactions and decisions in organizations.

Michael Schaerer is an Assistant Professor of Organizational Behavior and Human Resources at Singapore Management University’s Lee Kong Chian School of Business.

Read more on Compensation and benefits or related topics Human resource management, Social enterprise and Corporate social responsibility

Research: Why Employees Accept Lower Pay at Mission-Oriented Companies

Summary.

Partner Center