An effect of variable pay plans is that ____ incentives increase the competition among individual employees.
A) profit-sharing
B) individual
C) work team
D) organizational

Question

Quizplus · Accepted Answer

Variable pay plans that are based on individual performance encourage competitiveness among employees as they strive to outperform one another to gain higher rewards. Profit-sharing and work team incentives may also promote teamwork and collaboration rather than individual competition. Organizational incentives do not necessarily relate to individual performance or incentivize individual competition as much as variable pay plans based on individual performance.

An Effect of Variable Pay Plans Is That ____ Incentives