Which type of incentive plans are used to reward individual performance?

A) gainsharing
B) merit pay
C) Scanlon plan
D) profit sharing
E) stock ownership

Merit Pay

A pay system where employees are compensated based on their performance, as determined through evaluations, with the aim of rewarding high performance.

Individual Performance

The measure of the level to which an employee accomplishes work tasks effectively and efficiently, contributing to the organization's objectives.