Question

An owner of an enterprise asks you to describe the major components of a compensation system. what would you exclude in your description?

a. flexible work schedules and some element of job autonomy
b. performance pay
c. employee benefits
d. base salary

Answer 1

The major components of a compensation system are base salary, performance pay, and employee benefits. Flexible work schedules and job autonomy are excluded from this description.

Step-by-step explanation:

The major components of a compensation system include:

1. Base salary: This is the fixed amount of money that an employee receives for their work.
2. Performance pay: This refers to additional compensation that employees can earn based on their performance and achievement of specific goals.
3. Employee benefits: These are additional perks and advantages provided by the employer, such as health insurance, retirement plans, and paid time off.

What would be excluded in this description is flexible work schedules and some element of job autonomy.

While these factors can contribute to overall job satisfaction, they are not directly related to a compensation system.