Author Question: In general gainsharing plans are intended to link employees to organizational productivity by ... (Read 97 times)

geoffrey

  • Hero Member
  • *****
  • Posts: 880
In general gainsharing plans are intended to link employees to organizational productivity by focusing on cost-efficiency.
 
  Indicate whether this statement is true or false.

Question 2

Compare and discuss skill-based and competency-based systems of pay.
 
  What will be an ideal response?



chem1s3

  • Sr. Member
  • ****
  • Posts: 320
Answer to Question 1

Answer: TRUE

Answer to Question 2

Answer: Skill-based pay is a system that compensates employees for their job-related skills and knowledge, rather than how well he or she performs on the present job. Essentially, job descriptions, job evaluation plans, and job-based salary surveys are replaced by skill profiles, skill evaluation plans, and skill-based salary surveys. The system assumes that employees who know more are more valuable to the firm and, therefore, they deserve a reward for their efforts in acquiring new skills. When employees obtain additional job-relevant skills, both individuals and the departments they serve benefit. Competency-based pay is a compensation plan that rewards employees for the capabilities they attain. It is a type of skill-based pay plan for professional and managerial employees. Today, there are many alternatives to choose from-core, organizational, behavioral, and technical competencies. The disappearance of the traditional job provides the primary rationale for this change. Today, employees often have variable and unstable work assignments, with roles that cannot be assigned a valid pay rate through traditional job evaluation plans. Often, considerable time must be spent determining the specific competencies needed for the different jobs. Blocks of competencies are then priced, and management must invest considerable time in developing, implementing, and continuing such a system.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

Did you know?

When taking monoamine oxidase inhibitors, people should avoid a variety of foods, which include alcoholic beverages, bean curd, broad (fava) bean pods, cheese, fish, ginseng, protein extracts, meat, sauerkraut, shrimp paste, soups, and yeast.

Did you know?

Bacteria have flourished on the earth for over three billion years. They were the first life forms on the planet.

For a complete list of videos, visit our video library