Asked by Manal Al-Hashmi on Jul 23, 2024

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Refer to Scenario 10.1. One way to address the turnover problem that is driven by the frequency of payout would be to have some form of guaranteed pay. Which pay method for sales employees addresses this issue?

A) straight commission
B) salary and commission
C) bonuses
D) gainsharing

Guaranteed Pay

Compensation that an employee can count on receiving, typically a fixed annual amount, regardless of performance or company profits.

Salary and Commission

A compensation structure that combines a fixed salary with performance-based commissions, often used in sales jobs.

Turnover Problem

A situation in which a company or organization experiences a higher rate of employees leaving than is desired or expected.

  • Comprehend the impacts of various pay systems on the retention and performance of employees.
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Seynthan SelvachandranJul 29, 2024
Final Answer :
B
Explanation :
Offering a combination of salary and commission ensures that sales employees receive a steady income while also being incentivized to make sales, addressing the issue of turnover due to the long wait for commission payouts.