Which statement is true of compensable factors?
A) They are generally statistically derived.
B) They are the characteristics of a job that a firm values and chooses to pay for.
C) They refer to the factors that are important for setting the two-tier wage system.
D) They describe all aspects of the jobs being evaluated.
E) They are used to ensure equity among employees.

Question

Quizplus · Accepted Answer

Compensable factors are those characteristics of a job that a firm considers important and chooses to pay for. They are not necessarily statistically derived and do not refer specifically to the factors for setting a two-tier wage system or describing all aspects of a job. However, they are commonly used to ensure equity among employees by providing a basis for determining fair and competitive compensation for different jobs within an organization.

Which Statement Is True of Compensable Factors