Offering them roles that would challenge them to critically think and therefore develop skills when they solve those problems can be a big motivator in the workplace. This needs to be done so that it isn't just a new field of work they are being introduced to, but an advancement of a skill. Otherwise, people might feel like they are stagnant or falling behind in comparison to their peers which might be a de-motivator. Adding onto this, culturing a workplace that is supporting can be a huge asset in boosting team morale and retaining the workforce. They should not feel guilty for accepting opportunities given to them, but should instead be supported in making that decision. This type of workplace culture can be cultivated through how the project manager conducts themselves and treats their employees.
To motivate my team, I would reward small improvements while also providing helpful feedback on how to improve their performance. Overall, each member should be taking on roles and tasks that challenge them technically and interpersonally. I would also find ways to see the strengths in my team, and reward them when they are doing good.
From my co-op experience, I have noticed that one of the biggest motivators has been introducing employees to the people they are helping. The company I work at regularly has seminars with guest speakers who have received and used products that involve donated tissue. These treatments have drastically improved their lives, and knowing that we are the gears behind the work that led to these outcomes has been an amazing motivation.
For your second question on if a PM’s level of motivation impacts team productivity, I would say it does. PM’s are leaders of the team, and leading by example is a huge factor in that. Lack of motivation can seep into the team dynamics itself, leading to slacking or difficulty keeping up with work if that is the example observed. Lack of motivation can lead to growth of fatigue within a team, and could potentially lead to individuals seeking other opportunities.