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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

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Marsha
22 days ago
D seems safe, but it might not drive enough motivation.
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Carla
27 days ago
I prefer C. It balances stability and motivation for everyone.
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Alesia
1 month ago
I think A is the best choice. It aligns pay with performance.
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Lea
1 month ago
I think A) is too complicated, just keep it simple!
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Kenneth
1 month ago
D) is smart for keeping costs predictable.
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Ailene
2 months ago
100% variable pay? That sounds risky...
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Helene
2 months ago
I totally agree with C) for motivating everyone!
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Kerry
2 months ago
A) seems like the best option for flexibility.
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Pok
2 months 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
2 months 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
2 months 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
3 months 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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