Gain-sharing plans are premised on the assumption that:
A) all employees deserve to be rewarded
B) costs can be reduced and productivity improved by eliminating wasted materials and labor, developing new or better products, or working smarter
C) if top management is highly motivated to succeed, then the organization will naturally follow suit
D) performance-based pay must be closely linked with organizational strategy for the pay system to be effective
E) positive reinforcement is superior to negative reinforcement

Question

Quizplus · Accepted Answer

Gain-sharing plans involve sharing cost savings or productivity improvements with employees, which is based on the assumption that costs can be reduced and productivity improved by eliminating wasted materials and labor, developing new or better products, or working smarter. This approach incentivizes employees to work towards common goals and reap the rewards of their efforts.

Gain-Sharing Plans Are Premised on the Assumption That