Question

When Maggie joined Techno-Nerds, Inc., she automatically joined an employee team. Team members each had base salaries, but they were also compensated through a __________ system, where they would receive bonuses for team improvements over the last time the team's performance was evaluated.
a) soft benefits

b) peer-to-peer multiple

c) gain-sharing

d) skill-based pay

Answer 1

Answer:

Gain sharing

Explanation:

Gain sharing is a reward system where employees are rewarded based on improved performance. The essence of gain sharing is to encourage improvement in the performance of employees through increased motivation level.

It involves the payment of extra earnings , either in cash or any other means apart from the regular salary to the employees. However , there are conditions that must be met which serve as the basis for gain sharing.

Answer 2

Answer:

c) gain-sharing

Explanation:

Based on the scenario being described within the question it can be said that the team members were also compensated through a gain-sharing system. This term, also known as profit sharing, refers to an incentive plan that usually provides a direct or indirect payment to employees based on the company's profitability, usually in the form of shares of the company.