A competency-based pay system rewards employees who are more versatile and have continued to develop their skills.

Question

Quizplus · Accepted Answer

Competency-based pay systems link pay with competency levels, which are based on an individual's knowledge, skills, abilities, and other traits or characteristics that are relevant to their job. Employees who are more versatile and have continued to develop their skills are rewarded under this system, as they have demonstrated competency at a higher level than those who have not. Therefore, a competency-based pay system indeed rewards employees who have developed their skills and have become more versatile.

A Competency-Based Pay System Rewards Employees Who Are More Versatile