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High-ability original participants offered performance pay selected referrals who scored 0.371 standard deviations higher on cognitive tasks (p < 0.05), whereas low-ability participants showed no statistically significant improvement in referral performance (0.084 standard deviations) because low-ability participants could not accurately predict referral performance.
Employers frequently conflate two distinct benefits of employee referral networks: pre-hire screening (reducing asymmetric information about applicant skill) and post-hire peer monitoring (mitigating moral hazard during task execution). Failing to isolate pre-hire screening capability prevents firms from designing targeted recruitment incentive structures.
Low-baseline remitters increased remittance amounts (+174.94 PhP/week, p < 0.05), yet recipient spending on migrant priority items showed no significant increase (-0.200 log points, p > 0.10), indicating potential treatment attenuation over longer time horizons.