Not everyone prioritizes having a job with deep personal meaning. While some people work only to earn an income, to pay the bills, or to have activities without fully enjoying them, other individuals find meaning in their job and put all their efforts out of their interest and talent. Given the relatively limited studies on nonmonetary incentives topic, it spares discussion space regarding the significance of the incentives on individuals’ motivation and labor supply. Considering the potential economic and psychological benefits and impacts, individuals might seriously need to think about meaningful job to optimize their long-run satisfaction.
Financial rewards were significant, yet they might not be the sole driving force of an individual decision to take a particular job. Rather than just a way of making money, work might serve as a source of meaning and purpose for many individuals. For instance, academia is compelled by the desire to enrich their field, utilizing their expertise to answer intellectual questions, finding fulfillment in pursuing their research interests, and feeling a responsibility to communicate these concepts to others (Cassar & Meier, 2018).
There are several aspects that could help in determining meaningful jobs for individuals. Firstly, jobs characterized by significant personal autonomy and a direct positive impact on others are often regarded as the most meaningful. The level of autonomy workers have in making decisions plays a crucial role in determining their job satisfaction, which in turn has implications for economic behavior, such as labor market mobility and productivity (Clark, 2001; Oswald et al., 2015). Moreover, participating in tasks where one excels tends to be enjoyable (Loewenstein, 1999) since workers might experience a sense of competence and fulfillment when they can utilize their talents, skills, or knowledge to accomplish a specific objective. Hence, the extent to which skills are utilized might link to both job satisfaction and the selection of occupations.
Secondly, the sense of connection among coworkers holds significant importance in finding meaning in one’s work. This aspect underscores the notion that relationships at work contribute profoundly to the overall sense of fulfillment, as positive social interactions in the workplace could lead to heightened job satisfaction (Morgeson & Humphrey, 2006). However, the impact of social incentives may vary depending on the dynamics among peers. For example, in certain situations, workers exhibit increased productivity only when collaborating with more competent friends, suggesting that the effectiveness of social connections in enhancing performance is contingent upon the capabilities of those involved (Bandiera et al., 2010). It is also suggested that the extent to which workers feel connected to the organization and its members is closely tied to perceptions of fairness in treatment, which plays a pivotal role in fostering a sense of belonging and loyalty among workers.
Work represents much more than simply earning an income: for many people, work is a source of meaning (Cassar & Maier, 2018)
It is worth highlighting some factors that could influence the decision to choose a meaningful job over other options. First, younger individuals tend to emphasize finding meaning in their work as they gain life experience (Bode et al., 2015). However, it is challenging to fully understand whether these preferences are due to potential factors that are not accounted for or cohort effects. For instance, financial responsibilities typically increase with age, and preferences may shift over time, while different generations may hold distinct values.
Moreover, one can argue that the significance of work meaning is primarily relevant for upper-middle-income individuals who have already fulfilled their basic needs. Nevertheless, workers with higher incomes tend to work longer hours and are more prone to becoming workaholics (Hamermesh & Slemrod (2005). This could be attributed to various factors, such as increased financial incentives or a higher intrinsic enjoyment derived from work (Freeman, 2008). Additionally, high-paying occupations may offer greater autonomy, competence, and social connections, contributing to a sense of meaning in work. Given these suggestions, it is imperative to note that there might be considerable variability in preferences for the meaning of work, not only in terms of whether individuals prioritize it but also regarding which aspects of the job they value. This heterogeneity underscores the complexity of understanding how individuals perceive and pursue meaning in their work.
Recalling the main question stimulating this post, should individuals seriously consider taking a meaningful job as the strictly preferred option among other choices set of potential jobs? Arguably, yes, given the significant benefits. As discussed by Cassar and Maier (2018), meaningful work not only leads to job satisfaction but also results in increased productivity and effort. This notion is significant because if a job lacks meaning, no matter how much effort is exerted, it will not yield much fulfillment. Conversely, if a job is meaningful, putting in more effort could enhance the overall sense of meaning of doing it. For instance, if a job involves utilizing one’s skills to overcome challenges, exerting greater effort might significantly elevate the sense of fulfillment derived from the work. On the other hand, if a job involves repetitive and unskilled tasks with minimal recognition, a higher effort is unlikely to enhance the perceived meaning.
It should also be noted that meaningful jobs do not necessarily offer lower pay compared to less meaningful ones, and the preferences of the employer also play a significant role. In a work setting where job meaning is lacking, where tasks are repetitive and dull, efforts are relatively underappreciated, and there is no autonomy over the production process, monetary compensation might become the sole motivator. In contrast, in a work environment with a relatively high job meaning is already high, financial incentives could still effectively encourage individuals to work harder to improve their living standards. Nonetheless, it might be possible that when job meaning already serves as a strong motivator for exerting more effort, monetary incentives might not substantially enhance motivation in such circumstances.
Taking a more macro perspective of the labor supply, Cassar and Maier (2018) suggest that meaningful jobs might affect the number of working hours and the elasticity of labor supply. In a framework incorporating the concept of work meaning, individuals derive added fulfillment from increasing their working hours, leading to a deviation from the standard neoclassical optimality condition where only income matters. Consequently, any decrease in employment affects utility on two fronts: through reduced income and diminished meaning derived from work. Moreover, workers who find meaning in their work are less inclined to reduce their working hours compared to those primarily motivated by income. As a result, the inclusion of work meaning in labor considerations makes labor supply, and consequently employment, less sensitive to economic fluctuations than it would be otherwise.
To conclude, it might be rewarding to work in a financially secure and meaningfully fulfilling job. While individuals have various considerations regarding job and career decisions, existing studies suggest potential characteristics, factors, and benefits of meaningful work. It might be relevant nowadays to put a significant portion in individuals’ consideration (whenever possible) before actually realizing their job decision.
References
Bandiera, O., Barankay, I., & Rasul, I. (2010). Social incentives in the workplace. The review of economic studies, 77(2), 417-458.
Bode, C., Singh, J., & Rogan, M. (2015). Corporate social initiatives and employee retention. Organization science, 26(6), 1702-1720.
Cassar, L., & Meier, S. (2018). Nonmonetary incentives and the implications of work as a source of meaning. Journal of Economic Perspectives, 32(3), 215-238.
Clark, A. E. (2001). What really matters in a job? Hedonic measurement using quit data. Labour economics, 8(2), 223-242.
Freeman, Richard B. “Why do we work more than Keynes expected?.” (2008). in Revisiting Keynes: Economic Possibilities for Our Grandchildren (eds) Lorenzo Pecchi and Gustavo Piga. MIT Press.
Hamermesh, D. S., & Slemrod, J. B. (2008). The economics of workaholism: we should not have worked on this paper. The BE Journal of Economic Analysis & Policy, 8(1).
Loewenstein, G. (1999). Because it is there: The challenge of mountaineering for utility theory. Kyklos, 52(3), 315-343.
Morgeson, F. P., & Humphrey, S. E. (2006). The Work Design Questionnaire (WDQ): developing and validating a comprehensive measure for assessing job design and the nature of work. Journal of applied psychology, 91(6), 1321.
Oswald, A. J., Proto, E., & Sgroi, D. (2015). Happiness and productivity. Journal of labor economics, 33(4), 789-822.
hope. 