When Organisation Matters More Than Pay

Why do employees in social and solidarity-based enterprises report being more satisfied with their work, even though they earn less and receive fewer benefits than those in the traditional private sector?

According to data from the 'Reponse' survey (Industrial relations and workplace negotiations), conducted in France 2011 among more than 11,000 employees and 4,000 organisations, workers in the social and solidarity economy (SSE) are, on average, 4.2 points more satisfied with their jobs than their counterparts in conventional firms. 

In other words, money isn’t everything. The search for meaning at work has become a defining issue over the past two decades. As early as 2013, American anthropologist David Graeber popularized the now-famous term “bullshit jobs”1 — to describe meaningless, purposeless roles that leave workers feeling alienated.

But not all French workers are trapped in such “bullshit jobs.” A 2022 Opinion Way survey for Anact found that 84% of French employees believe their work is meaningful, though 32% still aspire to management practices more aligned with their personal values.

As quality of life at work rises to the top of the societal agenda, understanding what drives job satisfaction – beyond pay – has become both an ethical and strategic priority. Organisations, social or otherwise, can learn valuable lessons here to attract and retain talent.

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  Graeber D. (2013), “On the Phenomenon of Bullshit Jobs: A Work Rant”, Strike [online] August, n° 3 : https://strikemag.org/bullshit-jobs/

Happiness at Work Is an Organisational Matter

Economists Xavier Joutard, Francesca Petrella, and Nadine Richez-Battesti have delved into this paradox: how can workers in the SSE be happier despite lower pay and greater job insecurity? Drawing on data from over 11,000 French employees, their analysis shows that this satisfaction gap is not rooted in abstract values but in concrete organisational practices – greater autonomy, better access to information, and higher recognition. In short, happiness at work seems to depend less on ideology than on organisation.

Hapiness in the workplace might be less a matter of personal conviction than actual organization of labour. Picture: Alena Darmel via Pexels

A fresh take on an old puzzle

Until now, most studies have cited ‘pro-social’ motivations: employees in the social and solidarity economy accept less favourable material conditions because they find meaning in their work, feel useful, or are committed to serving the community. This idea was supported by earlier studies, such as Swiss economist Matthias Benz’s work (2005) on participatory governance and research from Philip H. Mirvis and Edward J. Hackett in the 1980s, which described “compensation effects” – autonomy, task variety, and a sense of purpose offsetting poorer working conditions.

The study by Joutard, Petrella, and Richez-Battesti takes a more empirical approach. Using econometric models, including the Gelbach decomposition method, the authors isolated the factors that explain satisfaction differences between SSE and traditional firms.

Their findings are striking: the 4.2-point satisfaction gap disappears once variables such as autonomy, information flow, and recognition are factored in. In other words, the organisational model – not the social mission – accounts for the SSE’s “satisfaction bonus.” Three factors stand out: autonomy at work (30% of the gap explained); access to information (13%); collective incentives such as group bonuses (8%). The same pattern holds for specific measures of satisfaction: employees in the SSE report higher satisfaction with working conditions (+5.2 points) and access to training (+4.6 points) – again, due to organisational rather than ideological reasons.

A Model Worth Replicating?

While revealing, the study leaves one key question open: are SSE employees more satisfied because they are different, or because their workplaces are? Without longitudinal data tracking worker mobility across sectors, it’s impossible to say. Another limitation is that the study relies on 2011 data, since later versions of the Réponse survey lack comparable indicators. Recent shifts in work organisation – such as remote working, flexibility, and increased autonomy – are therefore not captured.

A 2022 Dares report on the so-called “Great Resignation” found that the record number of resignations in France (520,000 between late 2021 and early 2022) was largely contextual, driven by post-pandemic adjustments. Yet the spread of autonomy-enhancing practices, notably remote work, has been significant: according to the Institut Montaigne, 40% of workers worked remotely on a regular basis in 2022, compared with just 7.4% in 2017.

Social and solidarity economy firms, despite having better satisfaction level on average, can also be places where discontent reins. Picture: Halfpoint via Adobe Stock

Shadows in the picture

The SSE sector is not immune to criticism. As the book Te plains pas, c’est pas l’usine (‘Do not complain: this isn’t the factory floor’) reminds us, the non-profit world is not always a haven of kindness: a social mission can sometimes serve as an excuse for exploiting employees, and issues such as mental overload, internal tensions, invisible work, or lack of recognition can also be found there. Moreover, the study found that management-by-objectives tools (bonuses, evaluations) have little or even negative effects on satisfaction – a finding that invites organisations to rethink performance-driven management models.

The lessons are clear: promoting autonomy, improving information sharing, and ensuring recognition are tangible and effective ways to enhance well-being at work. The SSE – representing nearly one in ten jobs in France, or over 2.6 million workers – may well serve as a hub of inspiration for reimagining work organisation beyond its traditional boundaries.