What is assumed by Theory Y management regarding the nature of employees?

Theory Y management posits a more optimistic view of employees compared to Theory X. It assumes that individuals are inherently self-motivated and capable of seeking out and taking on responsibility in their work. This perspective suggests that when employees are given the freedom and opportunity to engage in their jobs, they will be more productive and satisfied.

In a Theory Y environment, managers focus on creating a supportive atmosphere that encourages autonomy and recognizes employee contributions. This understanding facilitates fostering trust and collaboration, enhancing overall organizational effectiveness. By recognizing employees' potential for self-direction and intrinsic motivation, Theory Y emphasizes the importance of involving workers in decision-making processes and allowing them the freedom to excel in their roles.