What Is the Name for an Incentive Plan Where Improvements

question 58

Multiple Choice

What is the name for an incentive plan where improvements in group productivity determine the total amount of money that is allocated?

• A) employee ownership
• B) ESOP
• C) piece rates
• D) gainsharing
• E) profit-sharing

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Definitions:

Limitation of Remedies Clause

A contract provision that restricts the types of remedies available to the parties in case of breach, often to mitigate liability.

Unconscionable

Actions or conditions that are shockingly unfair or unjust; often referring to terms in contracts that are so one-sided that they are oppressive or unfairly penalize one party.

Privity of Contract

A legal concept that restricts the rights or duties arising under a contract to the parties who agreed to it.

Contractual Relation

A legally binding agreement between two or more parties that outlines the rights and duties of each party.