If Berkeley Shirtmakers ties compensation directly to output by paying an employee a certain amount for each unit of output produced, it is using
A) the soldiering system.
B) an illegal system.
C) the Mayo system.
D) a piece-rate system.
E) a system that reduces the pay of most manufacturing employees.

Question

Quizplus · Accepted Answer

Berkeley Shirtmakers is using a piece-rate system, where an employee's compensation is directly tied to their output or production. This is a common system used in manufacturing industries to incentivize higher levels of productivity.

If Berkeley Shirtmakers Ties Compensation Directly to Output by Paying