Employees on Hourly Wages Better Off Than Salaried Workers

A new study has revealed that workers who are paid on hourly basis seem to be better off than their salaried counterparts. Sanford E. DeVoe from the University of Toronto and Jeffrey Pfeffer from Stanford University studied the effect of time and money on the happiness levels of workers.

They said that people who were paid by the hour tended to feel more worthy as their time was properly accounted for. This effect was not seen in people who earned a salary.

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“Much of our day-to-day lives are subject to various organizational practices of payment that can prime different ways of thinking, such as the monetary value of one’s time…. It is important to consider the broader context in which people live and work in order to gain a better understanding of the determinants of happiness," the researchers wrote.

The details of the study appear in Personality and Social Psychology Bulletin (PSPB), the official journal of the Society for Personality and Social Psychology.

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