Bribes, Bonuses, and Best Intentions: Creating Equitable Financial Incentives for Coming to Work

• In Event: AERA Roundtable Session 15
  In Roundtable Session: Economics of Education and Human Capital Management

Abstract

School districts encourage teachers to come to school when they are healthy in order to improve student success. Some districts have responded by offering employees financial incentives for perfect attendance. These policies have the potential to lead to “presenteeism,” the practice of coming to work when ill. Organizations suffer costs associated with reduced productivity when employees are not working at their best, and there is the potential for spreading illness and leading to the unintended consequence of higher overall absence rates. This study analyzed all districts in a southern U.S. state to determine any relationship between financial incentives for perfect attendance and school quality factors. No significant relationship was identified that would support the presence or absence of incentives.

Author

• Raymond A. Lauk, Eastern Kentucky University