What Is the Significance of the "Cost-Of-Living Adjustment" Clause in Labor

Multiple Choice

What is the significance of the "cost-of-living adjustment" clause in labor contracts?

A) It calls for automatic wage increases during periods of inflation.
B) It calls for an increase in turnover rates during periods of recession.
C) It calls for automatic wage decreases during periods of recession.
D) It calls for employers to provide safe working conditions for employees.
E) It calls for employers to fulfill the self-actualization needs of employees.