In two-tier pay plans,when does the employer benefit most?
A) When the company is stagnating
B) When the lower-tier employment levels begin to increase
C) When the employee turnover is high
D) When the pay increase is related to the skills learned

Question

Quizplus · Accepted Answer

Two-tier pay plans benefit employers most when employee turnover is high because they can replace outgoing higher-paid employees with new hires at a lower wage scale, reducing overall labor costs.

In Two-Tier Pay Plans,when Does the Employer Benefit Most