A ________ pay plan pays for individual performance based on performance appraisal ratings.
A) piece-rate
B) merit-based
C) skill-based
D) profit sharing
E) competency-based

Question

Quizplus · Accepted Answer

A merit-based pay plan pays for individual performance based on performance appraisal ratings. Piece-rate pay plans pay employees based on the number of units produced or tasks completed. Skill-based pay plans compensate employees based on the number of skills they possess, rather than their job title. Profit sharing pay plans provide employees with a portion of the company's profits. Competency-based plans pay based on the competencies an employee possesses.

A ________ Pay Plan Pays for Individual Performance Based on Performance