Why Do People Work if They Are Not Paid? An Example from Eastern Europe

Abstract

The phenomenon of non-paid work on a massive scale is discussed. Research is done in a textile firm in Eastern Europe, which withheld payment for the performed work for more than a half a year. The following questions were studied: (a) what are the perceptions of work and work results in this highly unusual situation, (b) what kind of other incentives are available to substitute for lack of payment, (c) how do people explain their behavior under such circumstances. Results show that lack of payment is not a barrier for a high level of effort spent in work, relatively good performance, and organizational commitment. The reasons lye mainly in a high level of need for sense, i.e. tendency to search for the meaning of one's actions and the meaning of life, as well as in perceptions of the work situation as opportunities to satisfy higher order (Maslow type of) needs (self-actualization, esteem from others, and belongingness).