Which of the Following Is a Disadvantage of Gain-Sharing Plans

question 44

Multiple Choice

Which of the following is a disadvantage of gain-sharing plans?

• A)Payouts can occur even if a company's financial performance is poor.
• B)Pay-performance link is indirect.
• C)Employees are required to put up money to exercise grants.
• D)Mandatory stock ownership required by gain-sharing plans can increase turnover rates.

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Definitions:

Chinese Society

The social structure, customs, and way of life of the people living in China, characterized by its long history, traditions, and cultural evolution.

American Cities

Urban areas within the United States that are notable for their significant population, cultural heritage, and economic contributions.

Middle Class

A social class between the upper and working classes, including professional and business workers and their families.

Internal Slave Trade

The buying and selling of slaves within the borders of a country, notably within the United States before the Civil War.