__________ is an internal equity issue that can create morale problems and increase turnover of highly skilled and experienced employees as they seek higher salaries elsewhere.
A) Comparable worth
B) Wage rate compression
C) Compensation equity
D) Pricing equity

Question

Quizplus · Accepted Answer

Wage rate compression occurs when the difference in pay between newer employees and more experienced employees decreases. This can cause morale problems and lead to turnover among experienced employees who feel they are not being fairly compensated for their skills and experience. Comparable worth, compensation equity, and pricing equity all relate to external equity issues, not internal equity.

__________ Is an Internal Equity Issue That Can Create Morale