Pay. An easy way out?

October 14, 2026
Pay. An easy way out?

I recently had a chat with an acquaintance – let's call her Pia – who loved her job and her tasks, but had nevertheless been feeling unhappy. The working environment had started to be marked by unfairness, little recognition and low support from colleagues. Her desire to look for other workplaces grew, and it became clear to Pia that the working environment had to improve if she was going to stay.

How could she tackle it?

She raised it with management. They decided to give her a pay rise, even though she hadn't asked for one. Pia was of course pleased there and then – not bad to get a pay rise, she thought, hoping they would also tackle the challenges. The weeks went by and nothing happened. She tried to raise it with management again, and the response was: “but you've had a pay rise, I don't understand what the problem is?”.

This is the recipe for “pushing” an employee out onto the job market. Instead of acknowledging the real problem, an instrumental solution of increasing pay is chosen. A simple and effective tool, you might think, but it has its downsides. A reward that is not linked to recognition of something the employee finds relevant will not stimulate lasting, intrinsic motivation. The desire to stay in an organisation is best strengthened by creating the conditions for experiencing intrinsic motivation – exactly what Pia was asking for.

A good working environment is the most important driver of choice of employer among potential employees in Norway, according to Randstad Employer Brand Research (2021). Pay is of course also an important factor that has to be in place, but when it comes to choosing an employer, a good working environment trumps it. Since the manager is the most important carrier of culture and structure, the manager has a central role in developing and sustaining a good working environment that is inclusive and fair.

The influence of Generation Z

In this context, we can bring in the new generation that is challenging the leadership dimension and placing greater demands on the working environment. Generation Z – born after 1995 and up to 2010 – is the generation now starting to enter the labour market. Unlike other generations, this generation has grown up in a more technological world. They are “logged on” at all times, and “likes” and comments are a big part of everyday life. They are used to frequent feedback and affirmation, and this creates a form of security and good self-esteem.

The challenge for managers is to meet this and facilitate a working environment that can meet these needs. As Pia experienced in the example above, she doesn't just want to receive a payslip; she also wants to feel that the work she does matters and that she is important to the whole.

Even though the younger generation enters working life with higher expectations, we must still be careful not to make the generational categorisation too decisive. It is more about taking individual needs into account than adapting to generations. The advantage of talking about how we should lead the younger generation, and having knowledge of this, is that it makes us more aware of our own leadership towards the rest of the workforce too.

It is easy to throw money or various perks at the problem, but everything shows that follow-up and close dialogue with each employee is the most important tool for making employees feel seen and heard. This also helps employees find meaning in their own working day more easily.

Author: Malin Elisabet Lilletvedt, organisational adviser at Motivati.

Sources: