Ergo Co. is a manufacturing company based in Texas. In the year after Ergo Co. implemented a comparable-worth policy, its expenses increased, and as a result, profits declined. What difficulty of comparable-worth policies does this example illustrate?
A) The employer is at an economic disadvantage because of increased pay for some jobs.
B) The policy overlooks the undervalued work performed by women.
C) The policy uses job enrichment to establish a pay structure based on market rates.
D) The employer ignores the evaluation points for each job.
E) Employees in lower-paid jobs are encouraged to meet the goal of comparable worth.

Question

Quizplus · Accepted Answer

This example illustrates the difficulty of increased expenses associated with implementing a comparable-worth policy, which can result in decreased profits for the company. This is a common challenge with comparable-worth policies, as they often involve significant adjustments to pay structures and compensation levels, which can be difficult to manage without impacting the company's financial performance. While comparable-worth policies may be important for addressing gender-based pay disparities and ensuring that all employees are fairly compensated for their work, they can also be costly and difficult to implement effectively.

Ergo Co Is a Manufacturing Company Based in Texas