Which of the following is not characteristic of time-based compensation plans?
A)stable labor costs
B)easier to administer than output-based plans
C)stable pay for workers
D)simpler wage computations than output-based plans
E)lower cost per unit than output-based plans

Question

Quizplus · Accepted Answer

Time-based compensation plans typically result in stable labor costs, easier administration, stable pay for workers, and simpler wage computations compared to output-based plans. However, they do not necessarily result in a lower cost per unit than output-based plans, as they do not directly incentivize increased productivity.

Which of the Following Is Not Characteristic of Time-Based Compensation