Which of the following is true about skill-based pay plans?
A)They discourage employees from learning new jobs.
B)They create a psychological distance between employees and managers.
C)They discourage poor performers from leaving the organization.
D)They can be expensive because they motivate employees to spend more time learning new jobs.
E)They motivate employees to compete for promotions.

Question

Quizplus · Accepted Answer

Skill-based pay plans are a specific variation of competency-based rewards in which people receive higher pay based on their mastery of measurable skills.Skill-based pay systems measure specific skills, so they are usually more objective.However, they are expensive because employees spend more time learning new tasks.

Which of the Following Is True About Skill-Based Pay Plans