Asked by Caitlin White on Jul 20, 2024

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Gain sharing decreases work motivation because of pay-for-performance incentives and a greater sense of personal responsibility for making performance contributions to the organization.

Gain Sharing

Rewards employees in some proportion to productivity gains.

Pay-For-Performance

A compensation scheme where employees' pay is based on their performance, often measured through specific metrics or outcomes.

Performance Contributions

The individual or collective efforts made towards accomplishing the goals or tasks of an organization.

  • Discern the favorable and unfavorable elements of skill-based and gain-sharing salary schemes.
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PE
Perla EspinosaJul 23, 2024
Final Answer :
False
Explanation :
This statement is incorrect. Gain sharing is designed to increase work motivation by providing employees with a tangible reward for improving the organization's performance. It also fosters a sense of teamwork and cooperation among employees who are working towards a common goal. While pay-for-performance incentives may increase personal responsibility, it does not necessarily lead to a decrease in work motivation.