Question

What effect might high worker productivity have on determination the earnings of workers

Answer 1

The more productive workers are, it might increase their earnings.

Answer 2

The correct answer is: "the more productive the workers are, the higher the amount of money that the company earns and the higher the wages it can pay".

When workers have a high productivity, they can produce more goods and service per hour, given a certain amount of resources. Therefore, the increase in production figures allow companies to register larger sales and to earn a larger profit too. Such high productivy is an asset for the company, that should be rewarded accordingly, even more if it is the reason behind an increase in the company's profit.