Question

In: Economics

Entry-level workers for a major corporation earn less than their managers who also earn less than...

Entry-level workers for a major corporation earn less than their managers who also earn less than the executive vice presidents at the same corporation. This is an example of

Group of answer choices

wage-level decision.

an incentive wage.

an individual wage decision.

wage discrimination.

a wage-structure decision.

Solutions

Expert Solution

Answer: An individual wage Decision.

Entry-level workers for a major corporation earn less than their managers who also earn less than the executive vice presidents at the same corporation. Because here entry level worker has low experience and low performance besides vice presiden post is getting through with an experience, seniorty and performance so the answer is An individual pay decision. Individual wage decision : which is decided on the basis seneority,perfomance and experience.That means one who have these three he/she get higher pay.

The wage structure decision which is to provide equal pay for jobs of equal worth and an acceptable set of pay variations for jobs of unequal worth decision take it as a unilateral decision by top management, collective bargaining,wage survey and job evaluation.

Wage Level Decision is a policy decision by top management to attract an adequate supply of labour, and to keep present employees satisfied.

Incentive wage plan means an increased level of compensation while employee performance overcome the threshold level.

Wage or pay discrimination is the method of paying employees differently for the same or equal work because of race, gender,disability and nativity.


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