Employees at The Eastern Eagle newspaper are paid according to the Hay system.Ralph and Steve do the same type of work and report to the same supervisor.Ralph has worked at the newspaper for 14 years while this is Steve's third year.The supervisor believes Steve is the more enthusiastic and hard-working of the two.Under the Hay system,Steve will probably earn more than Ralph.
The Hay system is based on job tiers,each having a strict pay range.One disadvantage of this type of system is that a worker who is performing well may be paid less than a worker who is less productive but has been on the job longer.

Question

Quizplus · Accepted Answer

The Hay system is based on job tiers with strict pay ranges, meaning pay is determined by job level and tenure, not performance. Therefore, Ralph, with more years of service, is likely to earn more than Steve despite Steve's enthusiasm and hard work.

Employees at the Eastern Eagle Newspaper Are Paid According to the Hay