You Have Been Asked to Develop an Effective Reward System

question 176

Multiple Choice

You have been asked to develop an effective reward system for Kroger stores. In designing such a system, you should strive to meet all of the following objectives except

• A) enabling employees to satisfy their basic needs.
• B) providing rewards comparable to those offered by other firms.
• C) distributing rewards fairly within the organization.
• D) recognizing that different people have different needs.
• E) maximizing the amount spent on compensation.

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Definitions:

Demand

The desire and ability of consumers to purchase a good or service at a given price.

Tax

A required financial contribution or alternative type of tax placed on a taxpayer by a state authority to cover government outlays and assorted public spending.

Social Security Tax

A tax levied on both employers and employees to fund the Social Security program, which provides benefits to retirees, the disabled, and children of deceased workers.

Labor Tax

Taxes levied on the wages and income generated from labor, which can affect employment and labor supply decisions in the economy.