342 - Chapter 3 What is an example of a pay plan that is...

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Chapter 3 What is an example of a pay plan that is based on reinforcement theory? Piece-rate pay : reinforcement schedule is fixed ratio; reward given at fixed amounts of output (high and stable performance attained quickly but also with rapid extinction) Skill-Based Pay Plans Pay is based on the skills that employees have. Compare and contrast Theory X and Theory Y from Chapter 5 in the book. (pg. 71-72) There are two distinct views of people (employees) by managers, the way they view them affects how they treat them: basically negative (Theory X) and basically positive (Theory Y). 4 Assumptions held by managers under Theory X: 1. Employees dislike work and attempt to avoid it 2. Since employees dislike work they must be coerced, threatened, or punished to achieve goals 3. Employees will avoid responsibilities and seek formal direction whenever possible. 4. Most workers place security above all others factors related to work and will show little ambition 4 Positive Assumptions held by managers under Theory Y
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342 - Chapter 3 What is an example of a pay plan that is...

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