From the course: Practicing Fairness as a Manager

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Why people perceive things as fair or unfair

Why people perceive things as fair or unfair

From the course: Practicing Fairness as a Manager

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Why people perceive things as fair or unfair

- Want to learn some cool stuff about human behavior? Let's talk about a few different theories as they relate to fairness at work. Probably the most common, equity theory, assumes that we value fairness and so we are motivated to keep things fair as best we can. We measure equity or fairness by comparing the ratio of our contributions or costs to our benefits. If the benefits are equal to or outweigh the costs, then we'll agree something's fair. If the costs outweigh the benefits, then we'll complain that things are unfair. And we adjust behavior according to whether we perceive something to be fair or not. Let's say you and a team are working on a project. Subconsciously, you and your team members will constantly be thinking about whether your costs, in this case time and effort, are worth the benefits. If you believe you'll get something you value in exchange for the cost of time and effort, such as acknowledgement, a raise, or even just learning something new, you'll work hard…

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