The critical explanation of the change in Smith's behavior is that he was not renumerated for his efforts at performing higher level tasks and he became disgruntled and disillusioned with work.
The action I would have taken if I was Smith's immediate boss would be to give him a formal warning and pay his acting allowance fees without delay.
This refers to the situation where a worker is happy at his job and is willing to give his maximum input to the job.
Therefore, there can be a recurrence of such cases if the motivational climate of the organization is not improved as workers would feel less valued.
The steps I would take as Chief Executive of the company to solve the problem are:
Questions:
Read more about job satisfaction here:
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