Which one of the following statements about piece rate compensation schemes is false?
A) They attract more able workers.
B) They elicit high levels of effort.
C) They are preferred by discriminatory firms.
D) They discourage nepotism.
E) They tie pay to performance.

Question

Quizplus · Accepted Answer

Piece rate compensation schemes tie pay directly to performance, which can attract more able workers and elicit high levels of effort, as well as discourage nepotism by focusing on individual productivity rather than relationships. However, they are not specifically preferred by discriminatory firms; discrimination can occur in any type of compensation scheme depending on the practices of the firm.

Which One of the Following Statements About Piece Rate Compensation