Almost every organization rewards people to some extent for their job status.Discuss three potential problems with rewarding employees for their job status.Your answer should also briefly describe how organizations reward people for job status.

Students should begin answering this question by stating the meaning of job status-based rewards.The textbook identifies three problems with job status-based rewards.Students need to describe all three of these.Keep in mind that students might suggest other limitations that are correct but have not been specifically mentioned in this section of the textbook.First, job status-based rewards potentially encourage bureaucratic hierarchy rather than market responsiveness.Second, these rewards reinforce a status mentality, whereas Gen-X/Gen-Y employees expect a more egalitarian workplace.Third, status-based pay potentially motivates employees to compete with each other for higher status jobs and to raise the value of their own jobs by exaggerating job duties and hoarding resources.