If an employee is receiving pay based on his/her length of service in the organization and highest education received,then which pay structure is his/her employer following?
A) Grade structure
B) Lane-and-step plan
C) Two-tier plan
D) Job evaluation

Question

Quizplus · Accepted Answer

The lane-and-step plan is a pay structure in which an employee is compensated based on his or her length of service and highest education received. The plan is divided into lanes, which correspond to different levels of education and training, and steps, which correspond to different levels of experience and seniority. As employees gain experience and advance in the organization, they move from one lane to the next lane, and from one step to the next step within each lane. This type of pay structure is also called a step-and-grade plan.

If an Employee Is Receiving Pay Based on His/her Length