The equity theory proposes that employees derive motivation from the output they receive from the employer (Lazaroiu, 2015). The higher the equity ratio, the more an employee is motivated to continue working hard. This means that an employee who is paid 10000 dollars per month by working 80 hours per month will be more motivated than his counterpart who is paid the same salary but works for 120 hours. Inequality ratios cause job dissatisfaction, but the employees are motivated to work harder to restore equity. On the other hand, if there is equal ratios employees are motivated to maintain the outcomes of their efforts which comes in the form of advancement opportunities, promotion, pay, job security or pay. The input in the job includes training, skills, work experience, education, interpersonal skills as well as any other contribution that is beneficial to the organization.

This theory is the most applicable in the UK contemporary work where there is ‘working time directive.’ In the UK it is impossible to work more than 48 hours a week unless one opts not to follow the 48- hour week plan (MacDonald, 2004). For those who are below 18 years, they cannot work for 40 hours a week. One can, however, work for more than 48 hours a week if he/she works in a company where staffing is required 24 hours a day. An exception is also possible in the security as well as surveillance jobs. Additionally, domestic servants and law enforcers are exempted from the directive.

The stipulation of the working hours is what makes the theory most effective in the UK because of there equity between the input and the output. The number of hours that an employee works matches the outcome in terms of compensation. A value is attached to the skills and talents that an employee offers. The input is compensated through promotions, salaries, remuneration, and job security.

Lazaroiu, G. (2015). Employee motivation and job performance. Linguistic and Philosophical Investigations, 14, 97.

MacDonald, R. (2004). How protective is the working time directive?