In response to calls for greater pay flexibility:

A) Unions have refused to budge from a seniority based pay system.
B) Management has worked to stifle creativity in pay design.
C) Unions have agreed to more flexible pay systems like merit, bonuses, and skill-based pay.
D) The government has passed laws aimed at protecting and employers right to design pay plans without union interference.

Pay Flexibility

The ability of an employer to adjust wages based on performance, market conditions, or other factors.

Seniority-Based

A system where decisions regarding layoffs, promotions, and other job-related benefits are made based on the length of time an employee has worked at an organization.

Merit Bonuses

Compensation rewards given to employees based on their performance, as a way to incentivize higher productivity or achievement of certain goals.