To answer this question, we need to understand the concept of motivation in the workplace and the role of monetary rewards. Let's go through each option:
Option A) Monetary rewards are always effective - This option is incorrect because monetary rewards alone may not always be effective in motivating employees. While money can be a motivating factor for some individuals, it is not the sole determinant of employee motivation. Other factors such as job satisfaction, recognition, career growth opportunities, and a positive work environment also play a significant role in motivating employees.
Option B) Monetary rewards are hardly ever effective - This option is also incorrect. While it is true that monetary rewards may not be effective in all cases, there are instances where they can motivate employees. For example, financial bonuses or incentives tied to performance targets can encourage employees to work harder and achieve better results. However, it is important to note that relying solely on monetary rewards may not lead to sustained motivation and engagement.
Option C) Money is important but is often not the most significant motivator of employees - This option is the correct answer. Money is undoubtedly important as it provides individuals with financial security and meets their basic needs. However, several studies have shown that beyond a certain level of income, the impact of additional monetary rewards on motivation diminishes. Non-financial factors such as job satisfaction, meaningful work, a sense of belonging, and opportunities for growth and development often play a more significant role in motivating employees.
Option D) None of the above - This option is incorrect since option C is the correct statement regarding monetary rewards and employee motivation.
The correct answer is C) Money is important but is often not the most significant motivator of employees. This option is correct because it acknowledges the importance of money while highlighting that other factors may have a greater impact on employee motivation.