In developing a compensation plan, what is the most pressing issue?

Question

Quizplus · Accepted Answer

Fairness is the most pressing issue in developing a compensation plan as it ensures that employees receive equal pay for equal work and helps in retaining talented employees. Accurate job descriptions, industry research, and considering family members differently are also important factors to consider, but fairness is the overarching principle that should guide the compensation plan. It is important to note that fairness and equality are not the same, as fairness considers individual contributions and performance while equality treats everyone the same regardless of their performance or contributions.

In Developing a Compensation Plan, What Is the Most Pressing