Studies indicate that in order for merit pay to be most effective, it should be linked to ________.
A)company profits
B)annual base salary
C)employee overtime
D)employee performance

Question

Quizplus · Accepted Answer

D)Merit raises are more likely to be effective if they are linked to performance, which involves establishing effective appraisal procedures. Merit pay linked to company profits or employees' salaries, overtime, or awards are less likely to be effective incentives.

Studies Indicate That in Order for Merit Pay to Be