_____ theory argues that performance-based pay is best for complex jobs where monitoring employee performance is difficult.
A) Reinforcement
B) Goal setting
C) Agency
D) Expectancy

Question

Quizplus · Accepted Answer

The Agency theory argues that performance-based pay is best suited for complex jobs where monitoring employee performance is difficult. This is because it is not possible to directly observe or measure the employee's output, and therefore, the use of incentives such as performance-based pay can motivate employees to work harder and better to achieve the desired outcomes. Reinforcement theory emphasizes the use of rewards and punishments to shape employee behavior, while goal setting theory focuses on setting specific and challenging goals to motivate employees. Expectancy theory posits that employees are motivated by the belief that their effort will lead to a certain level of performance, which will in turn lead to desired outcomes. None of these theories specifically advocate for performance-based pay in complex jobs where monitoring is difficult.

_____ Theory Argues That Performance-Based Pay Is Best for Complex