How do benefit and welfare reductions impact job satisfaction among high-level execultves

Abstract

This research investigates how reductions in benefits and welfare during a financial crisis impact job satisfaction among high-level executives. Using Maslow’s Hierarchy of Needs as the theoretical framework, the study examines how changes to different benefit structures—such as salaries, allowances, insurance, and bonuses—affect executives' motivation and engagement. The study employed a qualitative methodology, conducting semi-structured interviews with 10 high-level executives in a Thai company. Data were analyzed using thematic coding to identify patterns across the five levels of Maslow’s Hierarchy: physiological, safety, social, self-esteem, and self-actualization needs. Key findings revealed that while most executives felt secure in their physiological and safety needs due to stable salaries, reduced health benefits created anxiety. Social needs were largely met through flexible work policies, but additional HR-organized social events were deemed unnecessary. Esteem needs were fulfilled when executives were entrusted with crisis-related responsibilities, though paused projects led to reduced confidence for some. Self-actualization needs were partially met, as some executives viewed the crisis as an opportunity for growth, while others struggled with personal anxieties stemming from reduced benefits. The research highlights the importance of balancing cost-cutting measures with strategies to maintain morale and motivation among executives. Recommendations include prioritizing competitive salaries, offering essential health benefits, recognizing contributions, and providing opportunities for professional growth.