We investigate how bonus payments affect satisfaction and performance of managers in a large, multinational company. We find that falling behind a naturally occurring reference point for bonus comparisons reduces satisfaction and subsequent performance. The effects tend to be mitigated if...

A substantial body of literature has analyzed the influence of psychological empowerment on individual and organizational outcomes. However, there is still a need to examine how empowered employees achieve higher performance. To fill this gap in the literature, this study analyzed the mediating...