A compensation plan that distributes to employees a proportion on net profits earned by the organization is called

Question

Quizplus · Accepted Answer

A compensation plan that distributes a proportion of net profits earned by the organization to its employees is called profit-sharing. The employees receive a percentage of the profits made by the company, which can incentivize employees to work harder and be more productive.

A Compensation Plan That Distributes to Employees a Proportion on Net