A potential problem with piece-rate plans is that:
A) workers will have a tendency to under-produce the good.
B) workers have no incentive to work hard.
C) workers may put little emphasis on the quality of the good.
D) it is difficult for managers to enforce.

Question

Quizplus · Accepted Answer

Piece-rate plans incentivize workers to produce as much as possible, but they may not encourage workers to focus on the quality of the good. This can lead to the production of low-quality goods or services that do not meet customer expectations. While A, B, and D may be issues with piece-rate plans, they do not specifically relate to the quality of the good or service produced.

A Potential Problem with Piece-Rate Plans Is That