The study is devoted to a comparative analysis of domestic and foreign experience in motivating the work of municipal employees in the context of the digital transformation of management and the growth of competence requirements. The aim was to identify systemic differences in motivational models and explain them by institutional and managerial factors affecting the quality of public services and the trust of citizens. The relevance is due to the discrepancy between traditional financial and status incentives and the demands of proactivity and service orientation. The scientific novelty lies in the integration of legal, sociological and managerial perspectives to build a holistic map of motivators and barriers relevant to municipal service reforms. The materials include an analysis of the regulatory framework of Russia and the OECD countries, official statistics, and secondary surveys from 2018-2023. The methodology is based on comparative legal and comparative sociological approaches, content analysis of legal acts, data processing of 2,450 respondents (1,350 in 15 regions of the Russian Federation, 1,100 in Germany, Canada and France), calculation of averages and shares, correlation analysis and aggregation of indicators of motivational well-being. Reliability is ensured by the representativeness of sources and the uniformity of secondary validation and coding procedures, including cross-checks. The results revealed the dominance of external incentives in Russia: salary and stability are gaining a total of 67.8%, while job content and social significance are 8.1%, recognition is 5.5%. Internal motivators are the leaders in the OECD countries: content and significance 24.7%, career growth 18.5%, recognition 12.1%. Satisfaction with non-financial incentives in the Russian Federation is significantly lower, career mechanisms are opaque, and an authoritarian leadership style prevails. Strong connections are established: authoritarianism negatively correlates with transparency, and democracy positively correlates with satisfaction with non-material incentives. Integral index of motivational well-being: Russia - 24.8%, OECD - 64.9%. The discussion interprets the differences through the institutional environment and management practices. The findings indicate that a compensation model based on salary and guarantees reproduces passivity and formalism, while a balanced model of engagement supports effectiveness and innovation. Transparent, competence-based and results-based evaluation and promotion procedures, the development of intangible incentives, flexible working conditions, public recognition and leadership based on trust and delegation are recommended. The proposed framework adapts the best foreign practices to the Russian context and sets clear guidelines for personnel transformation and development at all levels.