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Worldatwork c8 Exam - Topic 5 Question 110 Discussion

If employees have a significant impact on the bottom line, what type of pay mix is most appropriate?
A) A varying mix depending on employee influence on goals to provide the necessary incentive to maximize profits
B) 100% variable pay to motivate all employees to maximize productivity and sales
C) 90/10 for the majority of employees (base/variable) to share in the company's success with increased variable pay for management/executives to motivate employees to seek higher positions
D) High base pay and low variable pay to ensure predictability of total compensation expense

Worldatwork c8 Exam - Topic 5 Question 110 Discussion

Actual exam question for Worldatwork's c8 exam
Question #: 110
Topic #: 5
[All c8 Questions]

If employees have a significant impact on the bottom line, what type of pay mix is most appropriate?

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Suggested Answer: A

by Annabelle at Jun 20, 2026, 01:32 PM

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Ailene
3 days ago
100% variable pay? That sounds risky...
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Helene
8 days ago
I totally agree with C) for motivating everyone!
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Kerry
13 days ago
A) seems like the best option for flexibility.
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Pok
18 days ago
High base pay with low variable pay seems safe, but I recall that it might not drive performance as effectively as a more variable approach.
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Nidia
23 days ago
I lean towards option C because it balances base and variable pay, but I wonder if 90/10 is the right split for every company.
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Lamar
28 days ago
I think 100% variable pay sounds motivating, but it might not be practical for all employees. I feel like we had a similar question in practice.
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Farrah
1 month ago
I remember discussing how a varying pay mix can really align incentives with company goals, but I'm not sure if that's the best choice here.
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