ArticlePDF Available

The Basic Income: Initiating the Needed Discussion in Industrial, Work, and Organizational Psychology

Authors:

Abstract

The Basic Income (BI) involves regular and unconditional cash payments to all members of a political community, without the requirement or expectation to work in return. Whereas the BI is increasingly discussed by political parties, organizational practitioners, and in other academic disciplines, the field of industrial, work, and organizational (IWO) psychology has so far remained silent on the concept. In this article, we first explain why there is a growing interest in the BI and outline potential reasons why the BI, despite its topical relevance, has not been discussed by IWO psychologists. Next, to initiate the needed discussion on the BI, we outline the most important background information on the concept, including its definition, history, financial aspects, main criticisms, and potential advantages. We further provide first answers to common questions about the BI from an IWO psychology perspective, such as “(Why) would people still work if they received a BI?” We conclude with a discussion of potential positive and negative consequences of the BI as well implications for future theory development, empirical research, and practical applications.
A preview of the PDF is not available
... Regardless of the magnitude of these phenomena or their ultimate longevity, their mere existence suggests a heightened consciousness about work's role in one's life and in society. Similarly, recent policy discussions about a 4-day workweek, along with positive pilot results (e.g., Lewis et al., 2023), and the provision of an unconditional basic income (Hüffmeier & Zacher, 2021) imply a greater consideration about the relationships among work, time, and money. In sum, the present time seems apt for exploring modern-day implications vis-à-vis this prediction. ...
... If many people decided to work less than 35-40 hours a week (e.g., because they received a basic income, which would allow them to live comfortably without working), this could, in the short term, negatively affect companies and the economy (Hüffmeier & Zacher, 2021). An economic downturn and decreased productivity and innovation would also have detrimental consequences for individuals (e.g., reducing standard of living). ...
... Indeed, changing from a 5-day workweek to a 4-day workweek might have similarly positive effects as the switch from the 6-day workweek to the 5-day workweek in the 1950s in Europe (Schmid, 1961). Reductions in work hours could also benefit families and communities because individuals would have more time available for caregiving responsibilities, volunteering, and civic engagement (Hüffmeier & Zacher, 2021). ...
Article
Nearly 100 years ago, economist John Maynard Keynes predicted that, by today, technological advancements would allow the workweek to dwindle to just 15 hours, or 3 hours per day, and that the real problem of humanity would be filling their time with leisure. Although much has changed in the world of work since this prediction, such a drastic change has not taken place. In this article, several industrial-organizational psychology scholars discuss why this is the case. Why do we continue to work as much as we do, and how might that change? More fundamentally, what do these trends, contra Keynes’ prediction, tell us about the nature of work itself? We use this discussion to propose several research directions regarding the nature of work and how it might change in the future. We depict the phenomenon of working hours as multilevel in nature, and we consider both the positive and negative possible implications of working less than we do now.
... The basic income (BI) is a regular cash payment provided to all members of a political community independent of their financial or occupational situation (Basic Income Earth Network, n.d.). To date, a BI has not been introduced permanently in any country (Hüffmeier & Zacher, 2021), but it is a topic of debate in the general public, in politics, and in the media (e. g., O'Hagan, 2017). Although the BI is relevant for the field of work and organizational psychology (e. g., individuals' reactions to its introduction, potential changes in work design and the labor market), it has mainly been studied in other disciplines, such as sociology or political science (Hüffmeier & Zacher, 2021;Weber & Nachtwei, 2022). ...
... To date, a BI has not been introduced permanently in any country (Hüffmeier & Zacher, 2021), but it is a topic of debate in the general public, in politics, and in the media (e. g., O'Hagan, 2017). Although the BI is relevant for the field of work and organizational psychology (e. g., individuals' reactions to its introduction, potential changes in work design and the labor market), it has mainly been studied in other disciplines, such as sociology or political science (Hüffmeier & Zacher, 2021;Weber & Nachtwei, 2022). ...
... Applying research on the lottery question to open psychological questions surrounding the BI seems promising (Hüffmeier & Zacher, 2021). However, there are principal differences regarding the predictability, amount of money, and source of these two types of potential income that might affect people's reactions to them. ...
Article
Full-text available
The introduction of a basic income (BI) is a controversial topic. A key psychological question is whether most employees would stop or, as suggested by lottery question research, continue working. We addressed this question through two surveys with 268 and 640 employees, examining their plans regarding working if they won the lottery (lottery question) or received a monthly BI (BI question) as well as their reasons for continuing to work. More than 90 % (Study 1) and more than 80 % (Study 2) of respondents planned to continue working in both scenarios. In response to the BI question, more participants indicated they would continue working as before and fewer planned to pursue a different kind of work or to stop working. Financial reasons to continue working were reported more frequently in response to the BI question. Our findings suggest that the generalizability of lottery question research to the BI is limited, which necessitates specific research on the BI.
... Until recently organizational sciences have been relatively silent on the topic of BI with a special issue in Industrial and Organizational Psychology (see Hüffmeier and Zacher, 2021), and the recent publication from Perkins et al. (2022) as the lone exemptions. Perkins and colleagues for example discuss how BI may influence employment relationships via the psychological contract, ultimately predicting new employment dynamics, alterations to job quality, and shifting levels of employee commitment and turnover that psychological contracts can help explain. ...
... Perkins and colleagues for example discuss how BI may influence employment relationships via the psychological contract, ultimately predicting new employment dynamics, alterations to job quality, and shifting levels of employee commitment and turnover that psychological contracts can help explain. The brief narrative commentaries offered in the special issue (Hüffmeier and Zacher, 2021) cover a range of BI topics such as entrepreneurship (Qian et al., 2021), mental health (Carpini, 2021), and poverty and its impact on cognitive function (Olson-Buchanan and Vera, 2021). Notably, Zajack (2021) introduces self-determination theory to the BI discussion by highlighting that work can be an autonomous choice rather than requirement. ...
... However, while stress reduction is undoubtedly beneficial, psychological wellbeing is broader than removing negative psychological states and also includes eudemonic wellbeing or the facilitation of a 'good life' (Rawls, 2001;Ryan et al., 2008). This aspect of eudemonic wellbeing is a relevant area of wellbeing yet to be explored sufficiently and is well within the scope of management research (Hüffmeier and Zacher, 2021;Johnson et al., 2020;Zajack, 2021). ...
Article
Full-text available
In capitalistic societies the concepts of income and labour are inseparable, and as such, providing all citizens with an unconditional living wage is a contentious issue. Capitalist ideals that emphasize individual effort, competition, and financial prosperity have spurred tremendous economic growth but underestimate human motivation and have implications for human wellbeing. The aim of this essay is to examine the implications of guaranteed basic income based on existing data from the perspective of self‐determination theory, a humanistic theory of motivation that considers both practical performance‐related outcomes as well as human flourishing. I discuss the motivational dynamics involved in labour participation rates, how basic income may impact basic psychological needs and wellbeing, how basic income may impact workplace environments, and whether neoliberal capitalist values are a useful framework through which to discuss basic income. From this perspective, the benefits of basic income to individuals and society are promising. A shift in values from hyper‐rational competitive ideologies towards more humanistic frameworks such as self‐determination theory may be beneficial for not only for basic income and management research, but also the evaluation of public policy.
... Additionally, how might broader sociopolitical conditions influence workers' ability to consent? For example, I/O psychologists have already identified the potential for universal basic income to have a massive impact on the way workers relate to employers (Hüffmeier & Zacher, 2021). Thus, a more systematic look at the political and legal environment surrounding work beyond the narrow (if important) context of discrimination in personnel decision-making may be warranted. ...
... Of course, the way organizations choose to treat their employees in this regard would be much less of a concern with the implementation of a stronger social safety net independent of one's work status (cf. Hüffmeier & Zacher, 2021). ...
Article
Anti-work philosophy holds that work, in and of itself, tends to be harmful for most people. Some anti-work theorists even advocate for the abolition of paid employment altogether. We argue that, while endorsement of the radical ideology of anti-work is in no way necessary for I/O psychologists, considering the thinking behind these ideas can be beneficial. In fact, reviewing the tenets of anti-work may prompt some to a broad reconsideration of the nature and purpose of the I/O field and its role, nested as it is in potentially problematic power dynamics both within organizations and in broader society. In this article, after describing anti-work’s core tenets, we outline a number of research directions and practical applications inspired by this perspective. While in some cases these may involve the creation of new theory, constructs, and interventions, they often simply entail the repurposing or refocusing of existing ones that are more attuned to the problematic nature of work. Possibilities for research include, but are not limited to, the examination of the prevalence and nature of “managerialism,” how we might better understand the psychological character of organized labor and its outcomes, and how to encourage healthier manifestations of employee engagement. In terms of practice, we bring to the reader’s attention how anti-work might inspire extensions or adjustments in how we recruit and onboard, train managers, improve job characteristics, measure performance and work with unions and other political advocates. Ultimately, consideration of anti-work’s assertion of the inevitable authoritarian character of employment, combined with I/O psychology’s emphases on objectivity and the translation of science into practice, can spark inquiry and innovation.
... Now, imagine the recipients are also employed or self-employed. What happens in this case to their well-being and work involvement directly touches upon issues of work motivation, a field with high relevance to psychologists in relation to UBI (Hüffmeier & Zacher, 2021). Thus for a greater understanding of UBI and its full impact on individuals as well as a society as a whole, this paper will look at how it affects quality of life in conjunction with the motivation to work. ...
Article
Full-text available
The study contributes to research on Universal Basic Income (UBI) by examining mental health trajectories in working individuals who received a monthly UBI payment of €1,000 for the duration of one year. We assessed data from 357 recipients of additional income provided by a crowdfunding association in Germany. Participants reported their life satisfaction, well-being, work motivation, and needs satisfaction at up to three semi-annual measurement occasions, the first of which was scheduled at the onset of UBI payments. Specifically, we focused on the effects of autonomous work motivation as (a) a predictor of change in life satisfaction and well-being and (b) a mediator between needs satisfaction at work and mental health. We conducted Latent Growth Curve Models (LGCM) and Random Intercept Cross-Lagged Panel Models (RI-CLPM). Results of the LGCM indicated growth in life satisfaction and well-being during UBI payment. Autonomous motivation was a robust, positive predictor of initial levels of life satisfaction and well-being, both as time-invariant covariate (TIC) and time-varying covariate (TVC). Moreover, low initial autonomous motivation was associated with greater increase of life satisfaction and well-being. Using a RI-CLPM, we found strong support for the mediating effect of autonomous motivation. Furthermore, gender and income were significant predictors of initial life satisfaction and well-being in most of our models. Women and low-income earners tended to report lower levels of life satisfaction and well-being. The results are discussed focusing on the role of autonomous motivation for psychological health in the context of UBI and occupational health promotion more generally.
... Austria: The very existence of Organizational Psychology in Austria was first founded its ground in the year 1953 under 'The Austrian Professional Association of Psychologists' and now it has more than 1800 members globally, whereas in 1990 organizational psychologists were accepted as a formal profession in Austria (Rollett, 1999). At present, there are 2468 applied psychologists working in Austria in different national and multinational companies providing services under the domain of human resources to improve the wellbeing of employees and using scientific tools to understand the effects of work on mental health especially at a time when existing interest is on how rising demands from employers have affected the organizational efficiency (Hüffmeier & Zacher, 2021). ...
Article
Full-text available
Purpose-. Work is an integral part of human life, where progress and productivity are more expected or demanded but an employee’s mental health is rarely considered a priority. Therefore, the purpose of this study is to highlight the significance of placing an organizational psychologist at the forefront of workplaces, to encourage the mutual wellbeing of individuals and organizations. Approach- This is a conceptual paper that builds upon a thorough review of existing conventional management theories to identify key cracks in knowledge about the importance of organizational psychologists to deal with a diverse range of social and behavioral issues within organizations considering common psychological safety at work. We start by conducting a content analysis of a few articles in the field that discuss the ‘why’ for organizational psychologists under work climate and continue with the strategies that can help organizations in reducing work-related stressors and improving social working conditions, and training. Findings- This study proposes a model that can be used to consider individual (employee) and situational (organizational) psychological wellness by underlining the direct interaction of organizational psychologists in managing human resources. The model of this study elucidates that collective wellbeing relies equally on organizational support teams (HR) and organizational psychologists through collective mindfulness. Originality/Value- Many studies are conducted in different countries with different perspectives of the organization and HR, where the role and importance of the organizational psychologist or psychologist in the organizations were highlighted, yet the concept is still blurry in Pakistan, and thus, this study is a novel contribution in a geographical context. Keywords- Psychology, Organizational psychologist, Employee wellbeing, Corporate wellness, Organizational development Paper type- Conceptual Paper
... Consequently, there is little to no empirical evidence on the relationship between those psychological predictors and UBI acceptance. This is not surprising, since psychological research in general paid little attention to the topic of a UBI so far (Hüffmeier and Zacher 2021). Still, there are related empirical findings on the predictor level that we combined and argumentatively related to UBI acceptance to derive directed hypotheses. ...
Article
Full-text available
The COVID-19 pandemic plunged economies into recessions and advancements in artificial intelligence create widespread automation of job tasks. A debate around how to address these challenges has moved the introduction of a universal basic income (UBI) center stage. However, existing UBI research mainly focuses on economic aspects and normative arguments but lacks an individual perspective that goes beyond examining the association between socio-demographic characteristics and UBI support. We add to this literature by investigating not only socio-demographic but also psychological predictors of UBI acceptance in a multivariate analysis using a representative sample of the German working population collected in 2020 (N = 1986). Our results indicate that being more supportive of a UBI went along with being comparably younger, of East-German origin, and more in favor of equal living standards, as well as perceiving one’s economic situation to be worse and the threat of the corona-pandemic to be higher.
... Mumby, 2019). Yet, our disavowal of (social) values has precluded us from taking any normative stances at all, such as advancing "a notion of what organizations should be like with respect to their employees" (Lefkowitz, 2012, p. 110, emphasis in the original), promoting the importance of "meaningful work," a "living wage," or even an unconditional "basic income" (Hüffmeier & Zacher, 2021). A portion of "the conundrum of I-O psychology" is that too often "we help even those organizations who do not deserve it" (Lefkowitz, 2019, p. 476). ...
... This could be realized through the provision of an unconditional basic income (Carr,Hodgetts et al.,Chapter 1;Toaddy,Crawford et al.,Chapter 22), probably combined with a strong reliance on automation and a considerable redistribution of labor, i.e., an increase in the number of employees and a decrease in individual working hours (see Bregman, 2016;Haagh, 2019). In this context, work and organizational psychology as a discipline could play a much more prominent role than it currently does in providing expertise about potential advantages and side effects for individuals and organizations of implementing a universal basic income (Hüffmeier & Zacher, 2021). ...
Chapter
Precarity at work is a multifaceted phenomenon, which includes economic vulnerability, job insecurity, few social benefits, and low job quality. There is a substantial amount of work and organizational psychological research on the effects of low job quality and job insecurity, but the effect of economic vulnerability has gained little attention and is rarely included. We define economic vulnerability as risks to workers’ individual financial self-sufficiency and differentiate between objective (e.g., low labor income) and subjective indicators (e.g., perceived financial strain). Based on a conceptual framework of economic vulnerability, we discuss different theoretical perspectives on its psychological impact. We then provide an overview of the state of research on the consequences of economic vulnerability on workers’ health and well-being as well as on (working) life in general. We conclude with recommendations for future research on precarity and economic vulnerability, and a discussion of intervention strategies for organizations and policy makers. Overall, the chapter highlights the relevance of the concept of economic vulnerability within precarity of work research and the crucial importance of individual financial self-sufficiency for a healthy, meaningful, and productive (working) life.
Article
Economic sources of stress are some of the most pervasive and significant in adults’ working lives. However, while the link between economic stress and health is well established, some forms of economic stress have received disproportionately less attention than they warrant in organizational psychology and organizational behavior scholarship. In this review, we identify five important domains of economic stress: financial stress, financial deprivation, unemployment, underemployment, and job insecurity. We review each area of literature, focusing on its antecedents, theoretical mechanisms, and consequences. We then highlight an emerging body of research that studies economic stress as a multilevel phenomenon and present a framework for economic stress interventions that discusses primary, secondary, and tertiary interventions at the individual, organizational, and community levels. We conclude by identifying several important directions for future economic stress research. Expected final online publication date for the Annual Review of Organizational Psychology and Organizational Behavior, Volume 11 is January 2024. Please see http://www.annualreviews.org/page/journal/pubdates for revised estimates.
Article
Full-text available
Pandemics have historically shaped the world of work in various ways. With COVID-19 presenting as a global pandemic, there is much speculation about the impact that this crisis will have for the future of work and for people working in organizations. In this article, we discuss 10 of the most relevant research and practice topics in the field of industrial and organizational (IO) psychology that will likely be impacted by COVID-19. For each of these topics, the pandemic crisis is creating new work-related challenges, but also presenting various opportunities. The topics discussed herein include occupational health and safety, work-family issues, telecommuting, virtual teamwork, job insecurity, precarious work, leadership, human resources policy, the aging workforce, and careers. This article sets the stage for further discussion of various ways in which IO psychology research and practice can address the impacts of COVID- 19 for work and organizational processes that are affecting workers now and will shape the future of work and organizations in both the short and long term. This article concludes by inviting IO psychology researchers and practitioners to address the challenges and opportunities of COVID-19 head-on by proactively innovating the work that we do in support of workers, organizations, and society as a whole.
Article
Full-text available
The contagiousness and deadliness of COVID-19 have necessitated drastic social management to halt transmission. The immediate effects of a nationwide lockdown were investigated by comparing matched samples of New Zealanders assessed before (Nprelockdown = 1,003) and during the first 18 days of lockdown (Nlockdown = 1,003). Two categories of outcomes were examined: (a) institutional trust and attitudes toward the nation and government and (b) health and well-being. Applying propensity score matching to approximate the conditions of a randomized controlled experiment, the study found that people in the pandemic/lockdown group reported higher trust in science, politicians, and police, higher levels of patriotism, and higher rates of mental distress compared to people in the prelockdown prepandemic group. Results were confirmed in within-subjects analyses. The study highlights social connectedness, resilience, and vulnerability in the face of adversity and has applied implications for how countries face this global challenge.
Article
Full-text available
The title of this focal article (unashamedly paraphrased from Edwin Starr’s classic 1970 antiwar song) is only partly intended to be tongue in cheek; work is a strange thing with a very checkered history. For the most part, it is something we take for granted. Most able-bodied adults work. Working hard is taken as a sign of being an upstanding citizen. Right wing politicians even insist that “government handouts” only be made available in exchange for participation in “workfare” programs. Moreover, work is not just something we do; over the last 100 years or so, it has become a defining, constitutive feature of who we are as human beings. Our very sense of identity and well-being is tied up with our relationship to work. It is no accident, after all, that the first question we ask a stranger is, “What do you do?” (and we are not asking about their hobbies); we see this question as a way of taking the measure of that person.
Book
Despite the fact that the majority of the inhabitants of the Roman Empire lived an agricultural existence and thus resided outside of urban centers, there is no denying the fact that the core of Roman civilization—its essential culture and politics—was based in cities. Even at the furthest boundaries of the Empire, Roman cities shared a remarkable and consistent similarity in terms of architecture, art, infrastructure, and organization which was modeled after the greatest city of all, Rome itself. In Gregory Aldrete's exhaustive account, readers will have the opportunity to peer into the inner workings of daily life in ancient Rome, to witness the full range of glory, cruelty, sophistication, and deprivation that characterized Roman cities, and will perhaps even gain new insight into the nature and history of urban existence in America today. Included are accounts of Rome's history, infrastructure, government, and inhabitants, as well as chapters on life and death, the dangers and pleasures of urban living, entertainment, religion, the emperors, and the economy. Additional sections explore two other important Roman cities: Ostia, an industrial port town, and Pompeii, the doomed playground of the rich. This volume is ideal for high school and college students, as well as for anyone interested in examining the realities of life in ancient Rome. A chronology of the time period, maps, illustrations, a bibliography, and an index are also included.