__________occurs when new employees require higher starting pay than the historical norm, causing narrowing of the pay gap between experienced and new employees.
A)Equity theory
B)Pay structure
C)Delayering
D)Wage compression
E)Broadbanding

Question

Quizplus · Accepted Answer

Wage compression occurs when new employees are hired with higher starting salaries than the experienced employees, which results in compression or narrowing of the pay gap between the two groups. This can cause dissatisfaction and demotivation among experienced employees and can lead to retention issues.

__________Occurs When New Employees Require Higher Starting Pay Than the Historical