What Is a Drawback of Setting Pay Rates Based Strictly

question 86

Multiple Choice

What is a drawback of setting pay rates based strictly on a pay policy line?

• A) It increases the administrative burden of managing the compensation system.
• B) Employees have difficulty interpreting regression analysis.
• C) The estimated pay for a job may not reflect conditions in the labor market.
• D) It increases the costs of surveying the market.
• E) It groups jobs, which will result in rates of pay for individual jobs that precisely match the levels specified by the market.

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