Abstract This paper examines employee related effects of outsourcing, by comparing outsourced and public employees’ public service motivation (PSM). Therefore, this paper aims to find out whether there are different degrees of PSM motives between public and outsourced employees with different professions. The theoretical framework in this paper is based on the theory of PSM. Within this theory there is a disagreement about whether employees’ PSM is founded in their sector or their profession. To investigate whether the employees’ PSM is founded in the sector or profession, this paper carries out a comparative case study of the retirement home Christians Have. Christians Have is a quite special retirement home, due to the fact that it is driven in two separate units; a public and an outsourced one. Furthermore, it is unique because these two units share the same economy and conditions. This unusual division makes the retirement home a particular suitable case, since several conditions do not occur and do not need to be checked for. The primary empirical data are collected through the qualitative method interviews with the retirement homes’ two professions; nurses and social and health assistants. Furthermore, the paper uses the quantitative method as secondary empirical data through a survey that is carried out with the interviewed employees. The survey is used to support the qualitative data, and the purpose with the survey is to clarify and identify the interviewed employees’ opinions. The most important finding in this paper, is that there are no predominant difference in the degree of PSM across sector and professions. The results indicate however, that there is a slightly higher level of PSM among the outsourced employees. Despite this slightly higher level of PSM, the paper concludes that sector and professions alone do not have a significant covariation on the employees’ PSM. This can most likely be explained through the unique case, based on the fact that they share the same economy, have the same conditions and follow the same standards of quality in both the public and outsourced unit
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