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Designing Donation Incentive Contracts for Online Gig Workers

Author

Listed:
  • Tommaso Reggiani

    (Cardiff University
    Masaryk University
    IZA)

  • Rainer Michael Rilke

    (WHU-Otto Beisheim School of Management, Economics Group)

Abstract

This study examines the effects of donation incentives on labor supply in an online labor market through a field experiment (n = 944). We manipulate the donation purpose of the incentive to be either unifying or polarizing and the size of the donation relative to the workers’ wage. Our experimental design allows us to observe the decision to accept a job (extensive margin) and different dimensions of productivity (intensive margin). We predict and show that a unifying donation purpose attracts more gig workers and improves their productivity compared to a polarizing donation purpose. We discuss the implications of these results in order to understand the role of donation incentives and labor supply in online labor markets.

Suggested Citation

  • Tommaso Reggiani & Rainer Michael Rilke, 2024. "Designing Donation Incentive Contracts for Online Gig Workers," Journal of Business Ethics, Springer, vol. 190(3), pages 553-568, March.
    • Handle: RePEc:kap:jbuset:v:190:y:2024:i:3:d:10.1007_s10551-023-05428-7
    DOI: 10.1007/s10551-023-05428-7
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    More about this item

    Keywords

    Social incentives; Labor supply; Online gig working; Experiment;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects

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