Incentives Overview

What are performance bonuses?

• Fixed salary payments

• Paid time off

• Penalties for poor performance

• Additional payments or rewards based on performance.

What are perquisites in the context of incentives?

• Additional benefits or advantages

• bonus

• facilities

• Penalties or fines

Explain the concept of stock options as an incentive.

• Stock options are a form of compensation that gives employees the right to buy company stock at a specified price within a certain timeframe, serving as an incentive for employees to work towards the company's success.

• Stock options are a form of debt that employees owe to the company.

• Stock options are a guaranteed source of income for employees.

• Stock options are only available to top-level executives in a company.

Why are retirement benefits considered an important incentive?

• Retirement benefits lead to increased financial burden on society.

• Retirement benefits are only for the wealthy and privileged.

• Retirement benefits encourage laziness and lack of productivity.

• Retirement benefits provide financial security and stability for individuals after they have completed their working years.

How are performance bonuses different from productivity linked wage incentives?

• Performance bonuses are one-time rewards based on specific goals, while productivity-linked wage incentives are ongoing rewards tied to productivity levels.

• Performance bonuses are based on team achievements, while productivity-linked wage incentives are individual-based rewards.

• Performance bonuses are ongoing rewards tied to productivity levels, while productivity-linked wage incentives are one-time rewards based on specific goals.

• Performance bonuses are solely monetary rewards, while productivity-linked wage incentives can include non-monetary benefits.

What are financial incentives?

• Non monetarymonetary benefits offered to individuals or businesses to encourage specific behavior or actions

• reward given to individual or businesses for achieving financial goal

• Monetary benefits offered to individual to encourage specific behavior or actions

• Penalties imposed on individual or businesses for not meeting financial goals

What is the difference between financial and non financial incentives?

• Financial incentives are monetary reward, non financial incentives are benefits other than money

• Financial incentives are tangible, while non financial incentives are intangible

• Financial incentives are short term reward, while non financial incentives are long term reward

• Financial incentives are reward other than money, while non financial incentives are reward in terms of money

Explain the concept of profit sharing as financial incentive?

• Profit sharing is a formof employees salary increase

• Profit sharing is a type of employee bonus

• Profit sharing is a tax deduction for a company

• Profit sharing involves sharing a portionof the company's profits with employees as a financial incentive

Which one of the following is a non-financial incentive?

• Recognition

• Perquisite

• Retirement benefit

• Stock option

Which one is the example for perquisites?

• car

• Employee recognition

• Status

• transfer