A Copmarative Analysis Of Incentive Between Enterprise Employees And Civil Servants

In our country,government controls a considerable amount of resources, how to motivate the civil servants will have long-term and profound impact on the economic and social.Since the the reform and opening-up policy, our country has achieved a sustained and high-speed economic growth.From the perspective of institutional economics, system itself is a kind of productive forces, especially in our country who does not have too much advantage of resources and technology. In fact, our civil servants has been in a competition based on enterprise strong incentive promotion tournament.This system arrangement has brought decades of fast economic growth in China, but also accumulated a lot of economic and social problems.In this background, this paper starting from the basic theory of competition model, analyze the differences incentive between civil servant’s iand employees.The reward in basic competition model not only include financially rewardingjbut also all the benefits in a competition,including the economic benefits, social benefits, and the rest of the options, as well as the difference of position control of resources caused by the difference.Starting from the basic factors influencing the competition process,the differences of the fundamental objectives and nature between enterprise staffs and civil servants differ mainly in the following four aspects:the uncertainty of external influence, issues of industry policy, the measured difficulty on performance, hierarchy and personnel complexity within the organization.First of all, when other factors are invariable,the bigger bonus needed to cause the effort, the greater the gapof the bonus. Since some factors in economy, policy, industry factors,enterprise workers face much luck than civil servants, accordingly, enterprise workers needing strong motivation, and civil servants needing weaker incentives. Secondly,the narrow and single of the civil servants career intensify the internal competition,and due to the government’s diversified and comprehensive target, fcaing the same damage, the consequences of the government is more serious, so the political problem of government is more serious. Reduce the gap of bonuses can reduce negative effects, the same time reducing the efficiency,we need to balance.When we reduce the same gap of the bonus,the civil servants will work hard more than the enterprise employees,so the civil servants need weaker incentives.Thirdly, the performance measure difficulty of government is greater than that of the enterprise staff,and it will cause opportunistic behaviors and the departure of the whole aim.The weak incentives can reduce the benifit and motivation of the opportunism behavior, and the departure of the whole aim,so the civil servants need weaker incentives.Fourth, the personnel complexity of government is simple than enterprise,and the hierarchical structure is smaller than the enterprise. From the aspect of the remaining options, a enterprise needs a tilted wage structure, and the government needs a stable wage structure.Four conclusion point to the same conclusion:employees need stronger while civial servants need weaker incentive.We draw the conclusions:from the aspect of tournament model, on the basis of comparative analysis, the enterprise staff need strong motivation, while civial servants need weaker incentive.Later on the basis of the existing research, we analyses the present situation of the civil servant incentive pointing that if just thinking about salary, civil servants are faced with weak economic incentives, but from a comprehensive angle they are faced with strong incentives.Civil servants have a relatively narrow career channel, and position differences bring the difference of remaining options and control resources.In the broad space for rent-seeking, promotion will bring huge income disparity.In the 1980s, promotion championship bring economic growth and a series of positive effects to our country,but at the same time, it can distort incentivesand produce many negative effects, while these negative effects have leading serious problems to our economic and social.There are both advantages and disadvantages of Promotion tournament,during someCertain conditions, the benefits outweigh the disadvantages, but now,with the improvement of China’s economic,the promotion championship do more harm than good. Civil servant’s incentive should make a real returns to the weak incentives, to promote the integration of economic and social.At the end of the paper we put forward some proposal,such as improving the performance evaluation of civil servants, establishing a diversified civil service career,removing the resources brought by the power control, improving the incentive constraints mechanism,and so on.Finally,we mention the problem of who watches the watchman,and point that we should take public opinion into the civil service evaluation system.