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Question
Homelife, a national chain of high-end furniture stores, employs nearly 800 workers. In the past few years, the company's market share has dropped significantly, and employee turnover has increased. Upper management is considering the implementation of a new compensation policy in its efforts to turn the company around. Historically, the company has paid all employees similarly with some variation for seniority but no distinction between high and low performers.Which of the following, if true, supports the decision by Homelife executives to implement competency-based pay?
A) In an effort to save money, Homelife will be reducing the employee training budget over the next 3 years.
B) Most Homelife managers are men, but executives hope to increase the number of minority women working for the company.
C) Homelife sales associates currently receive base salaries in addition to sales commissions, but they have monthly sales quotas.
D) Homelife plans to organize employees into teams, provide regular training, and frequently assess workers' skills and knowledge.
Answer
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