When compensating professional employees, most employers use a
A)job evaluation approach.
B)skill-based pay approach.
C)market-pricing approach.
D)job-based pay approach.
E)pay equity approach.

Question

Quizplus · Accepted Answer

The most common approach used by employers to determine compensation for professional employees is the market-pricing approach. This approach involves comparing the salaries of similar positions in the same industry and geographic location to ensure that employees are being paid competitively. It takes into account market rates and supply and demand of skills to determine appropriate pay levels. Job evaluation and job-based pay approach are more commonly used for non-professional jobs, while skill-based pay approach is used for jobs where skills and training are the primary determinants of pay. Pay equity approach is used to ensure that employees are paid fairly for their work regardless of their gender, race, or other demographic factors.

When Compensating Professional Employees, Most Employers Use a