What Should Employers Do About the “Act Your Wage” Trend?

In recent years, several workplace trends have emerged that many employers find challenging. One such trend is "quiet quitting," where employees do only the bare minimum required to keep their jobs. A more recent trend is to "act your wage."

Let's delve into what this means and how to address it if it arises in your business.

Act Your Wage: Understanding the Trend and Its Origins

The "Act Your Wage" movement emphasizes recognizing one's value and the worth of one's time. Employees should only take on extra tasks if they are recognized and paid for their work. In essence, it follows the principle that an employee's pay should be proportional to their contributions.

This movement is an extension of the quiet quitting trend, promoting a healthier work-life balance through professional boundaries. Economic factors also play a significant role. From April 2021 to January 2023, inflation outpaced wage growth, even during months of high wage increases. Also, the federal minimum wage has not increased since 2009, causing minimum wage workers to earn less money in real terms. An analysis showed that if wages and productivity had increased together, the federal minimum wage in 2021 would have been $22.88 per hour, much higher than the current rate in 2024. Meanwhile, the cost of living—including essentials like groceries, gas, and housing—has risen significantly.

Given these conditions, it's understandable why employees might be reluctant to take on extra work without additional compensation. On a societal level, many people feel they are not adequately compensated for their work. Hence, "act your wage" means doing only what your job description requires unless you are fairly compensated for more.

Goals of the "Act Your Wage" Movement

Employees who adopt this practice typically do so for three main reasons:

Reducing/Preventing Burnout

Setting clear boundaries between work and personal life helps employees balance their responsibilities, reducing stress and preventing burnout.

Avoiding Exploitation

Some employers may overload team members with tasks outside their job descriptions without additional compensation. Employees who act their wage seek to prevent this exploitation.

Achieving Better Outcomes

Focusing on their actual work duties allows employees to perform better. By acting their wage, employees take responsibility for ensuring they can give their best to their primary tasks.

Addressing "Act Your Wage" in Your Business

To discourage this behavior and promote productivity, consider the following strategies:

Enable Growth

Offer advancement opportunities through training and professional development to prevent employees from feeling stagnant in their roles.

Define Responsibilities

Ensure there is no confusion about job roles and expectations. Clearly outline how each role contributes to the business' success.

Promote Personal Time

Encourage a healthy work-life balance to enhance the quality of your team's work and keep them productive and satisfied.

Reward Accomplishments

Acknowledge and reward employees for their contributions to successful projects to boost morale and motivation.

Offer Competitive Pay

Pay employees competitively and adjust their compensation as their roles grow. Reducing outside stress, such as financial concerns, allows employees to focus more on their work. Higher pay also means employees will be more motivated to exceed expectations.

The motivation to "act your wage" often stems from an imbalance between job expectations and realities. Addressing this imbalance can foster a more productive and motivated team.

Gravité is here to help. We can give your business the tools to work better, so you can concentrate on keeping your team happy. Contact us at 1300 008 123 to learn more.