Does appraisal and performance related pay (PRP) really improve performance?
The introduction of appraisal systems and PRP to the government sector is a result of the view that what works in the private sector will be equally effective when applied to the public sector. This assumption is basically flawed and studies have shown that these systems do not necessarily work well even within the private sector. There is some evidence that they may actually undermine the intrinsic motivation of public sector workers.