COMMERCE 1BA3 Chapter Notes - Chapter 6: Job Enrichment, Job Satisfaction, Motivation

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 1BA3
• Professor: Teal Mc Ateer

Document Summary

Piece rate: a pay system in which individual workers are paid a certain sum of money for each unit of production completed. Wage incentive plans: various systems that link pay to performance on production jobs. Restriction of productivity: the artificial limitation of work output that can occur under wage incentive plans. Workers feel that increased productivity due to the incentive will lead to reductions in the workforce. Employees fear that if they produce at an especially high level, an employer will reduce the rate of payment to cut labour costs. Merit pay plans: systems that attempt to link pay to performance on white collar jobs. Low discrimination: being unable or unwilling to discriminate between good performers and poor performers. Small increases: merit increases are simply too small to be effective motivators. Lump sum bonus: merit pay that is awarded in a single payment and not built into base pay.