What are the advantages of linking pay to performance Disadv

What are the advantages of linking pay to performance? Disadvantage?   Human Resur Management, Fisher, Cynthia D. Human resource management (6th ed.).

Solution

Performance based pay system refers to the pay that is based on whether the employee is able to meet or achieve the objectives. Employees are being evaluated based on their work and the salary is set based on particular position. The salary increment is given based on the performance of an individual during a specified time.

The advantages of a performance-based pay system are: -

The disadvantages of performance-based pay system are: -