A Moderated-Mediation Model for the Negative Impact of Pay for Performance on Work Motivation and Job Performance

The research regarding compensation in human resource area are far way behind itsimportance to individuals and organizations. Pay for performance is a very important policy,which can facilitate the business strategy. PFP can motivate good performers, manageperformance, and even retain best talents in organizations. However, there are some downsides of PFP, such as risk taking, gaming, and taking unacceptable means. The present studyaims at building a theoretical model of PFP and job performance mediated by work motivationwhen moderated by the negative factors caused by PFP.