Which of the following statements is true of skill- and knowledge-based pay systems?
A) They reward employees for increased performance.
B) They reward employees for increasing their capacity to perform well in the future.
C) They are based on an organization's present needs.
D) They are traditional group incentive systems that focus on short-term goals.

Question

Quizplus · Accepted Answer

Skill- and knowledge-based pay systems reward employees for acquiring new skills or knowledge that can potentially increase their performance in the future, rather than for the performance itself. This approach is designed to motivate employees to develop their abilities, which can benefit both the individual and the organization in the long term.

Which of the Following Statements Is True of Skill- and Knowledge-Based