What is a disadvantage of skill-based pay systems?
A) It makes organizations inflexible.
B) It reduces employee empowerment.
C) It may result in paying employees for skills they don't use.
D) It reduces opportunities for promoting employees.
E) It limits the number of pay levels by delayering.

Question

Quizplus · Accepted Answer

Skill-based pay systems may result in paying employees for skills that they do not use, which could lead to resentment and dissatisfaction among employees. This can also create financial waste for the organization. Additionally, if employees are not given opportunities to utilize their skills, they may become demotivated to maintain or improve their skillset.

What Is a Disadvantage of Skill-Based Pay Systems