Which of the following is true regarding a gain-sharing plan?
A)It prevents union members from sharing the wealth.
B)It creates difficulty in maintaining employment levels in marginal organizations.
C)It becomes ineffective when union members participate in plan development.
D)Not all unions would be in favor of this type of plan.

Question

Quizplus · Accepted Answer

Not all unions would be in favor of a gain-sharing plan because some unions believe that the distribution of pay should be based on individual performance and not on group performance. Additionally, some unions may not trust management to accurately calculate and distribute the gains.

Which of the Following Is True Regarding a Gain-Sharing Plan