Which of the Following Is a Disadvantage of Skill-Based Pay

question 41

Multiple Choice

Which of the following is a disadvantage of skill-based pay systems?

• A) Lesser paperwork
• B) Reduced employee empowerment
• C) No guarantee that employees can use their new skills
• D) Reduced opportunities for promoting employees
• E) Discouraged job enrichment

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Definitions:

Labor Employment

The act or process of employing labor forces and the state of being employed in work.

Marginal Revenue Product

The additional revenue generated from employing one more unit of a factor of production.

Wage Rate

The amount of money paid to an employee per unit of time or output, often expressed as an hourly rate.

Variable Input

An input whose quantity can be changed in the short run to adjust production levels, such as labor or raw materials.