Employees have a higher incentive to work when the bonus portion of an employment contract is larger than the guaranteed portion of the contract.

Question

Quizplus · Accepted Answer

When the bonus portion of an employment contract is larger than the guaranteed portion of the contract, employees have a higher incentive to work because they can earn more money if they perform well. This motivates them to work harder, be more productive, and achieve better results.

Employees Have a Higher Incentive to Work When the Bonus