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Discussion 2 (7)

Discussion 2 (7)

Q What are some potential problems with closely tying employee pay to company performance?

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The potential problems with closely tying employee pay are lack of motivation, loss of productivity. Overall the performance of the company gets hampered dye to the closely tying employee pay. It has to be accepted that employees should het proper payment and benefits because they are really working hard for the company. It is the responsibility of the management to give the safety and assurances along with proper benefits so that they can feel motivated.