Salary envy 'may make young employees happy'

   May 26, 12:19 pm

London, May 26 (ANI): Seeing others around them do well can actually makes young workers happy by providing them with aspirations, a new study has revealed.

Economists believe that workers under the age of 45 get high levels of satisfaction from seeing their peers earn more than them, because they think they have similar chances of success.

But the effect has a time limit - for those over the age of 45, comparisons with high-fliers can lead to misery, because there is less time to "catch up".

The study, entitled So Far So Good: Age, Sex, Happiness and Relative Income, was based on surveys carried out in Germany.

It divided participants into peer groups using characteristics such as age, education, and location, and hypothesised that people may be categorised as hares: people who are promoted early, or tortoises: those who develop more slowly.

The researchers found any negative impact of comparing salaries was limited to older workers.

"People are generally made less happy by comparisons," the Telegraph quoted Feliz FitzRoy, one of the co-authors of the report, as saying.

"In other words, the higher their peer group income, the worse they feel. With young people, it's the opposite," FitzRoy said.

FitzRoy, an expert in happiness and public economics at the University of St Andrews School of Economics and Finance, said those under the age of 45 were given a "positive boost" by knowing their peers earned more than them.

He added that the researchers planned to conduct a detailed study of British workers after finding initial differences between Germany and the UK, which suggested that older people in Britain were less affected by income comparisons.

But he said the findings had worrying implications for those currently at the beginning of their careers at a time of austerity and public spending cuts.

"What it does emphasise is how important aspirations are for young people.

"In a situation like the current austerity, these aspirations are being systematically destroyed because young graduates are lucky to get jobs and if they do, they are usually below their qualifications.

"We can conclude that this is particularly damaging to their self-esteem and of course, we find in virtually all studies that unemployment has very damaging effects," he added.

The study has been presented to the Royal Economic Society Conference in Cambridge. (ANI)

Landscaping `lean` offices with green plants can increase productivity by 15 pc Sep 1, 9:53 am
Washington, Sep 01 (ANI): A new, first-of-its-kind, study has revealed that designing the offices with green plants could increase productivity by 15 percent.
Full Story
Italian students check-in at Amity to explore rich Indian culture and heritage values Aug 26, 6:57 pm
Noida, Aug 26 (ANI): Twenty five students pursuing different programmes in UNIMORE, Italy,will stay at Amity University for three weeks from August 25 till September 12, this year wherein they will be familiarized with India's rich culture and traditions.
Full Story
Dearth of quality faculty posing challenge for India's engineering colleges: Massachusetts Varsity academic Aug 21, 6:28 pm
Noida, Aug. 21 (ANI): India still faces an acute shortage of quality faculty members, whose need is felt in the country's roughly 3,000 engineering colleges.
Full Story
Rude bosses negatively affect their team Aug 21, 3:45 pm
Washington, Aug 21 (ANI): A new study has found that leaders who are insulting towards their teammates, could end up creating a conflict amongst the whole team, putting their productivity in jeopardy.
Full Story
Comments

LATEST STORIES
TOP VIDEO STORIES
PHOTO GALLERY