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What Are Some of the Negative Effects of Increasing the Sensitivity

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What are some of the negative effects of increasing the sensitivity of managerial pay to firm performance?


Definitions:

Fair Credit Reporting Act

A federal law designed to promote accuracy, fairness, and the privacy of information in the files of consumer reporting agencies.

Credit History

A record of a person's or company's past borrowing and repaying behavior, including information about late payments and bankruptcy.

Background Checks

The process of verifying the personal, financial, and criminal records of an individual, often conducted by employers.

Reasonable Accommodation

A modification or adjustment to a job, work environment, or the way things are usually done, that enables an individual with a disability to apply for a job, perform job functions, or enjoy benefits and privileges of employment.

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