The Employee-Customer-Profit Chain Model States That Companies with Higher Profits

question 132

True/False

The employee-customer-profit chain model states that companies with higher profits tend to subsequently lay off employees,which reduces the future number of customers.

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Definitions:

Merit Pay System

A compensation strategy that rewards employees based on their job performance, typically involving evaluations and performance metrics to determine pay increases.

Pay Increases

Adjustments to salary or wages to enhance an employee's compensation.

Performance Contributions

The measurable output or results produced by an employee that contribute to the organization's objectives.

Skills-based Pay

A compensation system that rewards employees for the range, depth, and types of skills and knowledge they are capable of using in their work, rather than their job title or position.