Question

Do you think managing your own intrinsic rewards (Meaningfulness, and Competence) will result in a path to Sustainable Engagement and Fulfillment for you as a leader?

Answer 1

Findings indicate that intrinsically rewarding job features, such as meaningfulness and recognition, are preferred over extrinsically rewarding job features, such as salary and promotion (Baltes & Dickson, 2001; Kanfer & Ackerman, 2004). Moreover, older and younger workers with similar jobs have been found to experience differential treatments and opportunities at work (Kite, Stockdale, Whitley, & Johnson, 2005), which can endanger their sustainable employment (Cadiz, 2010). In order to better understand the importance of the work environment for older workers’ sustainable employment, the current study focused on the intrinsic value of the job and age-supportive climate as predictors of sustainable employment, and on the role of age in these predictions.

Intrinsic job value and sustainable employment
Work on age-related changes indicates that employees’ motivation, needs and values change over time (Heckhausen & Wrosch, 2010; Kanfer & Ackerman, 2004; Kooij et al., 2011; Ng & Feldman, 2010; Warr, 2001) and that some work aspects become more important than others when employees age (Baltes & Dickson, 2001; Stork, 2008). Recent studies (e.g. Rineer, 2012; Zacher & Frese, 2009) found that employees respond differently to the work situation, depending on age. As Truxillo et al. (2012) note, certain job characteristics may lead to increased outcomes for one age group more than for another.

Several explanations have been provided to explain these changes in motivation and preferences for job characteristics. One such explanation, i.e. selection, optimization and compensation theory (Baltes & Dickson, 2001) refers to age-related losses and gains. Aging is generally associated with losses in fluid intelligence (i.e. working memory and attention) and in physical strength (Warr, 2001). Owing to these losses, some work aspects, such as long working hours and competition, will become increasingly less attractive for older workers (Kanfer & Ackerman, 2004). At the same time, older workers experience gains that is increases in resources such as crystallized intelligence, work-related expertise and skills (Ackerman, 2000). Accordingly, they will prefer jobs and tasks that allow them to use and optimize these resources (Baltes & Dickson, 2001). This would imply that development opportunities and challenging tasks are important job aspects for older employees.

Another explanation, i.e. socio-emotional selectivity theory (Carstensen et al., 1999), emphasizes the importance of employees’ time perspective for the selection and pursuit of goals. When time is perceived as being more open-ended, as in younger workers, people will give more priority to knowledge acquisition and career advancement. Conversely, when time is perceived as limited, as in older workers, people will focus more on the present, emphasize emotional goals instead of knowledge-related goals, and prefer work that is intrinsically and affectively rewarding. This would imply that meaningful work and receiving recognition are important job aspects for older employees.

Research has generally supported these notions, showing that older employees more strongly value intrinsically rewarding features of the job, such as meaningful work and appreciation from others, than extrinsically rewarding work outcomes, such as performance evaluations, benefits and promotion. Older employees are even inclined to postpone retirement when they expect their job to remain challenging and rewarding, providing them with learning opportunities.

Together, this evidence suggests that there are a number of work aspects that contribute to the intrinsic value of a job, and therefore might be especially relevant for older employees’ sustainable employment. The present study focused on employees’ perceptions of four of these job aspects: meaningfulness, recognition, challenge and learning value. Work is perceived as meaningful when it implies a sense of accomplishment, purpose and contribution. Recognition refers to the acknowledgment one receives for ones’ contribution to the organization, and is often seen as a part of the nonmaterial rewards that motivate employees. Challenge refers to task elements that are somewhat difficult, require employees to use their potential, and appeal to curiosity, creativity and the enjoyment of solving complex problems. Learning value refers to the developmental experiences that reside in the work environment (Poell, Van Dam, & Van den Berg, 2004) and results in the expansion of employees competencies (Nikolova, Van Ruysseveldt, De Witte, & Syroit, 2014). These four aspects should not be considered objective task characteristics, but instead refer to employees’ perceptions of job aspects that contribute to the intrinsic value of their job because they fulfill important needs. According to Self-Determination Theory (Deci & Ryan, 2000), the fulfillment of basic psychological needs (i.e. autonomy, competence and psychological relatedness) is crucial for optimal functioning and personal well-being and foster employees’ intrinsic motivation. A job that is meaningful will address the need for autonomy and for relatedness. The recognition employees receive for their work will address the need for competence and for relatedness. Learning value and challenge will address the need for competence and for autonomy.

In turn, jobs that have high intrinsic value will foster employees’ sustainable employment. Employability will be furthered when the job is challenging and has learning potential, because these aspects increase employees’ skills and abilities. Moreover, if work is perceived as meaningful and provides employees with recognition, employees are more likely to maintain their employability in order to increase job security.

Similarly, intrinsic job value will relate to work engagement. Work engagement is generally considered the outcome of a motivational cycle that is triggered by specific work aspects, i.e. job resources. There is ample evidence that these four aspects of intrinsic job value work operate as job resources. Several studies have found that employees with meaningful work experienced higher levels of work engagement, more intrinsic motivation and a stronger sense of absorption.