Which of the following does NOT represent a valid compensation objective for an organization?
A)performance enhancement for the organization
B)lowest total compensation cost in the industry
C)internal, external, and individual equity for employees
D)legal compliance with relevant laws and regulations

Question

Quizplus · Accepted Answer

While an organization may strive to manage compensation costs, having the lowest total compensation cost in the industry is not a valid compensation objective. This objective may result in low employee morale, difficulty in attracting and retaining top talent, and ultimately negatively affect the organization's performance. In contrast, performance enhancement, equity for employees, and legal compliance are all valid compensation objectives that support the overall success of the organization.

Which of the Following Does NOT Represent a Valid Compensation