Profit sharing is a formula-based group incentive plan that uses improvements in group productivity from one period to another to determine the total amount of money allocated.

Question

Quizplus · Accepted Answer

Gainsharing is a formula-based group incentive plan that uses improvements in group productivity from one period to another to determine the total amount of money allocated. Gainsharing is different from profit sharing in that it ties rewards to productivity gains rather than profits.

Profit Sharing Is a Formula-Based Group Incentive Plan That Uses