Which of the following statements is true of performance-based rewards?
A) The most general form of a merit-pay plan is to reward the individual performance of employees on a real-time basis.
B) Performance appraisal has the most meaning to employees if it is subsequently connected with a reward such as a salary increase.
C) Incentive compensation systems are among the most recent forms of performance-based rewards.
D) Incentive compensation systems work best in situations that involve ambiguous performance indicators.

Question

Quizplus · Accepted Answer

Performance appraisal is most meaningful to employees when it directly affects their rewards, such as salary increases. This connection between performance evaluation and tangible rewards motivates employees by recognizing their efforts and achievements.

Which of the Following Statements Is True of Performance-Based Rewards