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Question
Which reward is best suited to the following situation: Production workers making close to minimum wage; the manager wants to introduce a pay for performance plan that will increase production numbers. Work is interdependent. Production output is measured daily.
A) Individual bonus based on a percentage of company profits, paid at the end of the year.
B) Group incentive; reward is a grocery store gift certificate of $100 awarded weekly.
C) Merit increase determined annually and typically 1 to 3% of base pay.
D) Individual incentive, reward is two tickets to Disney World awarded at the end of the year.
E) Group incentive; reward is ten cent increase to base pay for the next years pay.
Answer
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