The Differential Piece Rates System Refers To

question 103

Multiple Choice

The differential piece rates system refers to:

• A) an incentive pay plan in which the employer pays the rate per piece based on the difference in performance of employees.
• B) a system that gives employees a bonus if the ratio of labor costs to the sales value of production is below a set standard.
• C) an incentive pay in which the piece rate is higher when a greater amount is produced.
• D) a system of linking pay increases to ratings on performance appraisals.
• E) an incentive pay plan where every employee is paid different wages based on the skills they possess.

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Definitions:

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