Oftentimes,companies use this method to trim their payroll responsibilities by encouraging higher paid workers with more seniority to voluntarily leave the company earlier than previously planned.
A)resignation plans
B)severance plans
C)early retirement programs
D)employee expenditure plans

Question

Quizplus · Accepted Answer

The method described involves encouraging higher paid workers with more seniority to leave the company earlier than planned, which is typically done through early retirement programs. Choice A, resignation plans, implies that the workers are simply choosing to leave on their own accord without any encouragement or incentives from the company. Choice B, severance plans, typically only come into play when an employee is terminated or laid off involuntarily, and the payment given is typically based on certain criteria such as years of service, salary, etc. Choice D, employee expenditure plans, is not relevant to the method described.

Oftentimes,companies Use This Method to Trim Their Payroll Responsibilities by Encouraging