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CSEET · Business Laws and Management · Principles of Management and Modern Approaches

Under Taylor's differential piece-rate system, a worker who completes output at or above the standard is paid:

A worker meeting or exceeding the standard output gets a higher rate per unit than a worker falling short. Taylor's differential piece-rate system uses two rates around a standard to motivate efficiency, so a time-based fixed salary or equal rates are not part of it.

  1. AThe same rate as one who does not meet the standard
  2. BA lower rate per unit than a worker below standard
  3. CA higher rate per unit than a worker below standardCorrect
  4. DA fixed monthly salary regardless of output

Explanation

The differential piece-rate system sets a standard output and pays two rates. Efficient workers who reach or exceed the standard get the higher rate per unit, while those below get the lower rate. This rewards efficiency and penalises inefficiency.

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