ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Improves morale of employees-Training helps the employee to get job security and job satisfaction. The more satisfied the employee is and the greater is his morale, the more he will contribute to organizational success and the lesser will be employee absenteeism and turnover.

Detailed explanation-2: -For employees, performance-based compensation is a reward for their hard work and acts as an acknowledgment of their contribution to the firm as well as functioning as an incentive to stay with the company. Most employee bonuses are performance-based compensation.

Detailed explanation-3: -Incentive pay is financial reward for performance rather than pay for the number of hours worked. The idea is the prospect of financial compensation will motivate the employee to hit certain performance figures or financial targets.

Detailed explanation-4: -Increased efficiency of employees: Reduced supervision: Less amount of wastage: Reduced turnover: Helps new employees in the organization: Better labour –management relations: Self-confidence: Increased motivation levels: More items