Which of the following is NOT an advantage of an incentive pay program?
A) Incentives focus employee efforts on specific performance targets.
B) Incentives are a way to increase equity and justice in an organization.
C) Incentive payouts are fixed costs linked to the achievement of results.
D) Incentives are a means to reward or attract top performers when salary budgets are low.

Question

Quizplus · Accepted Answer

This statement is false. Incentive payouts are variable costs that are based on the achievement of results rather than fixed costs.

Which of the Following Is NOT an Advantage of an Incentive