Offering employees an efficiency wage may:
A)reduce turnover.
B)attract the most productive workers.
C)lead to a reduction in training costs.
D)result in any of the above.

Question

Offering employees an efficiency wage may:
A)​reduce turnover.
B)​attract the most productive workers.
C)​lead to a reduction in training costs.
D)​result in any of the above.

Quizplus · Accepted Answer

Offering employees an efficiency wage can lead to a reduction in turnover by motivating employees to work harder and produce higher quality work. It may also attract the most productive workers by offering a higher wage than competitors. Finally, by retaining skilled employees, there is a reduction in training costs. Therefore, all of the above choices are possible outcomes of offering an efficiency wage.

Offering Employees an Efficiency Wage May