Research: salary affects our psychological well-being | Business

Research: salary affects our psychological well-being | Business

A study conducted by Emplonet this fall aimed to assess whether salary, duties and work form can influence job satisfaction and the employee’s psychological well-being. 805 respondents took part in the study, most of them residents of Lithuanian cities. The survey was conducted by social in networks.

Those who earn more have a better psychological well-being

“After analyzing the data, we saw that there is a connection between the salary and the psychological well-being of the respondents. A trend was noticed among our respondents – the more a person earns, the higher his psychological well-being indicators.

True, there is a more significant difference between those who earn the least (up to EUR 981 “on paper”) and respondents who earn about 3 thousand. EUR before taxes. From 3 thousand the psychological well-being of persons receiving EUR “on paper” is still growing, but more moderately,” says Viktorija Šarkauskaitė, Emplonet’s business and IT personnel selection specialist and organizational psychologist.

Company photo/Relationship between pay and psychological well-being (numbers from 0 to 50 represent averages of results between these groups, with a higher number indicating greater psychological well-being)

The study also measured the relationship between pay and respondents’ job satisfaction. The authors of the survey divide job satisfaction into internal and external.

Internal job satisfaction refers to satisfaction with work itself and is usually related to employee values ​​such as creativity, meaningfulness of work, and self-realization. Meanwhile, extrinsic job satisfaction comes from external aspects of the job, such as pay, working conditions, supervisor-colleague relationships, and career opportunities.

“The study revealed that as an employee’s income increases, the overall rate of job satisfaction also increases. Interestingly, extrinsic satisfaction is relatively similar across income groups, while intrinsic satisfaction tends to be lower among those with lower incomes. This may mean that some lower-earning employees feel less opportunities for professional realization,” says the organizational psychologist.

Research: salary affects our psychological well-being | Business

Company photo/Relationship between pay and job satisfaction (numbers 1 to 5 represent averages of results between these groups, with higher numbers indicating higher job satisfaction)

It has been observed that psychological well-being can improve slightly with increasing responsibilities: “True, we notice a couple of statistical “pauses” as the indicators of psychological well-being rise – an experienced specialist and a low-level manager have the same emotional well-being, and there is no significant difference between a beginner and someone with a little more experience specialist. Although emotional well-being and internal job satisfaction increase slightly with increasing responsibilities, external job satisfaction is significantly higher among persons holding high positions.”

However, the specialist draws attention to the fact that each employee’s experience is unique and may depend on many factors, and the findings of the study show general trends that can be adapted individually.

Young people and women are characterized by poorer emotional well-being

This year, the Lithuanian youth under 30 were declared the happiest in the “World Happiness Index”, but in the Emplonet study, generation Z (people born between 1997 and 2009) stood out from other age groups with lower indicators of psychological well-being and internal job satisfaction.

“Although external job satisfaction among respondents of generation Z remains similar, as among other generations, indicators of internal job satisfaction are lower. The reasons for poorer psychological indicators are probably not caused by external factors of work, but other complex reasons. For example, global studies draw attention to social. the impact of networks, the pandemic and other phenomena on the integration of the younger generation into the labor market. Also, this generation feels more economic anxiety than the older ones”, observes the executive of Emplonet director Ingrida Juknevičiūtė-Lukašonok.

By the way, poorer indicators of emotional well-being among young people can be seen around the world: Gallup’s Global Workforce Report (2024) notes that the well-being indicators of those under 35 fell last year and are now significantly different from the older part of the population.

Bad news for those who have returned to the office

The research also revealed correlations between the form of work and the level of emotional well-being: “We asked the respondents whether they work in the office for the entire working week, whether they can freely choose which way to work, whether they have to spend a certain number of days in the office during the week, or whether they work remotely. It turned out that those who work only in the office have lower emotional well-being.”

Among other forms of work, no significant differences were found, but work in a selective manner and distance remained the leaders.

“The results are interesting in that the remote working group performed differently than we often hear today: for example, it is said that only remote workers feel worse, lonelier, lose the feeling of belonging to a team, and with it, productivity. Seeing these results, we can assume that both employees and employers are gradually adapting to a relatively new form of work,” says I. Juknevičiūtė-Lukašonok.

window.fbAsyncInit = function() {
FB.init({
appId: ‘117218911630016’,
version: ‘v2.10’,
status: true,
cookie: false,
xfbml: true
});
};

(function(d, s, id) {
var js, fjs = d.getElementsByTagName(s)[0];
if (d.getElementById(id)) {
return;
}
js = d.createElement(s);
js.id = id;
js.src = “https://connect.facebook.net/lt_LT/sdk.js”;
fjs.parentNode.insertBefore(js, fjs);
}(document, ‘script’, ‘facebook-jssdk’));

#Research #salary #affects #psychological #wellbeing #Business

**Interview with Viktorija Šarkauskaitė,‌ Organizational Psychologist at Emplonet**

**Interviewer:** Thank you for joining us today, Viktorija. Your ⁤recent study ‌provided valuable insights into the relationship between salary, duties, and job satisfaction. What were​ some‍ of the primary findings regarding salary and psychological well-being?

**Viktorija Šarkauskaitė:** Thank you ​for having me. ‍Our ⁢study, which surveyed 805 respondents⁣ in various Lithuanian cities, highlighted a clear correlation between salary and psychological well-being. Specifically, we ‍found that individuals with higher incomes report‌ better psychological well-being. The most significant difference was ‍evident between those earning less than EUR 981 and those making around​ EUR 3,000 before ⁢taxes. ‌While psychological well-being continues to improve with increasing salary, the rate of ⁤growth becomes ⁢more moderate beyond the⁤ EUR ‌3,000 mark.

**Interviewer:** ‌That’s interesting. You also explored job satisfaction. Can you explain the distinction between internal and external job satisfaction?

**Viktorija:** Certainly. Internal job satisfaction refers to ​how fulfilled ​employees feel regarding the work ‌itself—this⁤ includes aspects⁢ like creativity, the ‍meaningfulness of ⁤the work, and opportunities for self-realization. Conversely, ​external job satisfaction ‌stems from outside factors—such as‍ salary, working conditions, and relationships with⁣ colleagues. Our findings showed that while ‍external job satisfaction remains fairly consistent across various income groups, those with lower incomes tend to report lower levels‍ of ⁣internal job satisfaction. This suggests that financial‌ struggles may limit their feelings of professional fulfillment.

**Interviewer:**‍ Your study also​ observed interesting ​trends⁣ among different age groups. ​Could you elaborate on the ⁢findings regarding younger employees?

**Viktorija:** Absolutely. ⁢Interestingly, ‍although Lithuanian youth under 30 were rated as the​ happiest in ‌the‌ “World Happiness Index,” our study ‍found that Generation Z respondents reported‌ lower psychological well-being and ⁣internal⁣ job satisfaction. Interestingly, ​their external job satisfaction levels were comparable to those of ​other generations. The ⁢lower internal job satisfaction appears to be​ influenced by multiple factors, including economic anxiety and social media’s impact on their integration into the ⁤labor market.

**Interviewer:** What can employers do to​ enhance job satisfaction and psychological well-being among their employees, especially among younger generations?

**Viktorija:** Employers should create a supportive work environment⁤ that ‍fosters personal growth‌ and⁢ provides opportunities for skill ⁣development. This ⁢could mean offering mentorship programs, promoting positive workplace relationships, and ensuring that employees find their work meaningful. Additionally, understanding​ the unique challenges faced by younger workers, such as economic uncertainty, ‍can help tailor support systems that resonate with ‌their specific needs.

**Interviewer:** Thank you, Viktorija, ⁢for sharing these insights. It’s ⁤clear that addressing the connection between salary, job ​satisfaction, and psychological well-being is crucial for fostering a healthier workforce.

**Viktorija:** Thank​ you for having me.‍ Raising awareness about these ‌issues is an ‌essential ⁢step toward improving workplace well-being for everyone.

Leave a Replay