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ACCA Applied Knowledge · Business and Technology · Consequences of ineffectiveness at work

Priya, a team member, is persistently ineffective, but her manager takes no action. Colleagues who perform well begin to reduce their own effort and two seek transfers. Which analysis best explains the colleagues' reaction?

Colleagues perceive inequity: they put in more effort than Priya yet receive similar treatment, as equity theory describes. This unfairness reduces their motivation and effort and leads some to seek transfers, harming the team.

  1. AThey perceive inequity between their inputs and rewards compared with Priya, reducing motivationCorrect
  2. BThey are satisfied because hygiene factors have improved
  3. CThey are moving up Maslow's hierarchy to self-actualisation
  4. DThey are demonstrating strong organisational commitment through loyalty

Explanation

Equity theory says people compare their input-to-reward ratio with others; tolerating poor performance while good performers get similar reward feels unfair, so effort falls or people leave. Satisfied hygiene factors would not prompt transfers, and the behaviour does not show self-actualisation or loyalty.

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