The biggest challenge with competence-based pay is
A)encouraging employees to take advantage of it.
B)reduction in organizational flexibility.
C)loss of productivity.
D)developing appropriate measures of skills and competencies.

Question

Quizplus · Accepted Answer

The biggest challenge with competence-based pay is developing appropriate measures of skills and competencies. This means identifying and assessing the specific skills, knowledge and behaviors that should be rewarded through the pay structure. Without appropriate metrics for evaluation, it is difficult to implement and maintain a competence-based pay system. The other options may be challenges but they are not the biggest challenge.

The Biggest Challenge with Competence-Based Pay Is