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

question 12

Multiple Choice

Which of the following is a limitation of skill-based pay programs?

• A) Rewards are not given for specific performance.
• B) They are often ignored by leaders as being ineffective.
• C) Labor costs increase as employees' skills increase.
• D) They cannot be tailored to fit individual employee needs.

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Definitions:

Actual Performance

The real, measurable outcomes or results achieved in a given period, often compared to planned or expected performance.

Performance Meets Objectives

A situation where the actual outcomes align with the targeted goals set by an organization or individual.

Controlling

The process of measuring performance and taking action to ensure desired results.

Plans Fulfilled

The successful execution or completion of predetermined strategies or objectives.