How Can Low Wages Affect Employees in An Organization

9/1/22, 3:17 PM How Can Low Wages Affect Employees in an Organization?
How Can Low Wages Affect Employees in an

Organization?
by Ruth Mayhew
Published on 26 Sep 2017
Some employers struggle to pay top wages. Economic conditions,

organizational changes and demand for business services and
products affect an employer’s ability to compensate employees at
extremely competitive wages. Low wages can have devastating
effects on employees in terms of anger and disappointment, stress,
low morale and unemployment.
anger
When employees believe they should be earning more money, they exhibit signs
of overall dissatisfaction. As a result, their workplace relationships suffer,
particularly the professional relationships they have with supervisors and
managers. Employees who spend too much time thinking about their supervisors
and managers earning more money can become guilty of displaced anger. Instead
of directing their anger toward compensation and benefits specialists who
determine the salary structure or toward executive leadership for not
reconstructing compensation, they may feel inadequate compared to managers
who earn higher wages.
stress
Employees who don’t earn as much as they should may experience stress related
to financial worries. Working in a job that doesn’t pay enough to make ends meet
can increase stress due to the inability to meet monthly obligations. That stress
affects families and can spill over into the workplace, fostering low morale and
productivity. If employees aren’t earning enough to support themselves and their
families, the irritability and frustration can affect self-esteem and overall well-
being. In “Effects of Low-Wage Employment on Family Well-Being,” Ohio State
professor Toby L. Parcel cites a 1984 study of parent-child relationships that suffer
as a result of low wages and states: “Low wages limit the material resources
parents can provide for their children, and low wages can produce feelings of
distress that affect parent-child interaction.”
low morale
Low morale is often connected to employee dissatisfaction. Employees who are
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dissatisfied with working conditions -- including compensation -- may
demonstrate apathy towards their job duties and begin to question the reasons
they stay with the same employer. Low morale can turn into feelings of despair and
worthlessness, which can be detrimental and even dangerous in the workplace. In
some cases, employees who internalize extreme despair and worthlessness may
find themselves involved in workplace conflicts more often than other employees.
unemployment
Motivation levels drop when employees don’t receive the compensation to which
they are entitled. They may believe there’s no use in putting forth the effort to do a
good job when their pay is significantly lower than competitors’ wages. Low levels
of motivation have an impact on performance, and poor performance affects the
organization’s bottom line. Poor performance can affect the quality of products
and services. In turn, customers will eventually seek the quality and quantity they
deserve from a competitor. Losing business to competitors will ultimately make
your organization’s profits drop and end in underemployment and, perhaps,
unemployment.
Related Resources References Writer
Description of a Passive- How to Calculate Can an Employer Be The Disadvantages of a Negative Effects of
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Description of a Passive-Aggressive Employee

by Christina Hamlett
Under the right set of circumstances, just about anyone could be

drawn to procrastinate, argue, criticize or feel as if she's a victim of
injustice. For passive-aggressive personalities, however, this is a
well-ingrained habit and daily ritual that can make everyone
around them feel uncomfortable and reluctant to trust. In the
workplace, employees with this toxic attitude affect morale, impede
productivity and undermine the authority of management.
causes
causes
Passive-aggressive behaviors can originate in childhood and adolescence as a

result of unhealthy family environments involving divorce, violence or substance
abuse, the forced suppression of emotions and competition with siblings and
playmates. According to the authors of "The Angry Smile: The Psychology of
Passive-Aggressive Behavior in Families, Schools and Workplaces," individuals who
learn early that mind-games, defiance, accusations and acting out their hostilities
are a way to get attention and control the actions of others are more likely to carry
these perceptions into adulthood.
symptoms
Passive-aggressive employees have a tendency to question, criticize and belittle

the motives of their coworkers and bosses, gossip incessantly to create a divisive
workplace, make excuses and lay blame for incomplete assignments and become
sullen or angry when their demands are not met. Passive-aggressive workers are
highly vocal in their resentful feelings toward anyone they regard as a competitor,
as well as eager to invoke sympathy for their own losses, real or imagined.
workplace coping
Engaging in arguments with passive-aggressive coworkers or planning retaliations

to get them fired are among the worst coping strategies, according to the authors
of "Toxic Coworkers: How to Deal with Dysfunctional People on the Job." Calm
dialogues, walking away from escalating confrontations and limiting personal
contact with these individuals are more effective. Don't bail them out when they
fail or make excuses that only reinforce their aggression. Develop backup plans to
protect the company's reputation. Supervisors and HR representatives must be
brought into the loop if hostilities persist or increase, especially if there is any
reason to suspect that the worker could cause physical harm to himself or others.
professional therapy
Personality disorders such as passive-aggressive behavior are hard to self-heal

because affected individuals tend to believe it's everyone else who has a problem.
Counseling sessions with a trained therapist work to identify the underlying
causes of insecurities, fears and anger, acknowledge and express emotions in a
healthy way, recognize situations that trigger hostile reactions, respect the
boundaries of others and promote positive thinking. Group therapy sessions might
be recommended for engaging in role-playing exercises. In some cases,
medications such as antidepressants may be prescribed to manage feelings of
agitation and nervousness.
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9/1/22, 3:17 PM How Can Low Wages Affect Employees in an Organization?

How Can Low Wages Affect Employees in an

Some employers struggle to pay top wages. Economic conditions,

Low morale is often connected to employee dissatisfaction. Employees who are

Related Resources References Writer

Description of a Passive-Aggressive Employee

Under the right set of circumstances, just about anyone could be

Passive-aggressive behaviors can originate in childhood and adolescence as a

Passive-aggressive employees have a tendency to question, criticize and belittle

Engaging in arguments with passive-aggressive coworkers or planning retaliations

Personality disorders such as passive-aggressive behavior are hard to self-heal

Related References Writer

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