A temporary pay premium added to the regular base pay of an employee to account for a temporary market escalation in pay for certain skills in extreme shortage is called a(n) ____________.

Question

Quizplus · Accepted Answer

A hot skill premium is a temporary pay premium added to an employee's regular base pay to account for a temporary market escalation in pay for certain skills in extreme shortage. It is given to encourage employees to stay with the organization and not jump ship to another employer. Tight labor market adjustment and key skill premium are not commonly used terms for this concept.

A Temporary Pay Premium Added to the Regular Base Pay