Unintended Audiences: The Emotional and Behavioral Impact of Leader Compliments on Observers

Compliments are a powerful tool leaders can use to enhance employees’ development, work engagement, and job performance. Although the positive effects of compliments on recipients’ well-being and performance are well-demonstrated, it is important to consider how leader compliments influence the broader audience (i.e., employees who witness compliments but are not the recipients). I draw on social comparison theory to suggest that leader compliments can both positively and negatively influence observers through the emotional experiences of inspiration and envy, respectively. Importantly, I identify perceived similarity as a boundary condition that determines the degree to which inspiration and envy occur. Furthermore, while inspiration leads to a moving-up tendency to increase one’s own in-role and extra-role behaviors, envy leads to a pulling-down tendency aimed at harming the complimented coworker. By examining the observer effects of leader compliments, I expand the social functions of compliments beyond the dyadic level and provide a more holistic understanding of compliments in the workplace.