Ira, the Manager of a Woodworking Business, Is Considering Implementing

Multiple Choice

Ira, the manager of a woodworking business, is considering implementing a piecework incentive plan for the woodworkers reporting to him.You are an HR consultant he has asked for advice as to the benefits of implementing such a plan.You advise him of all of the following except that

A) piecework plans are simple and easily understood.
B) the incentive value of piece-rate plans can be powerful since rewards are directly tied to performance.
C) piece-rate plans appear equitable in principle.
D) since the piece rate is quoted on a per-piece basis, in workers' minds, production standards become tied inseparably to the amount of money earned.
E) they are easily understood by employees.