CMA Intermediate · Cost Accounting · Employee Costs
Which of the following is an avoidable cause of labour turnover in a manufacturing concern?
Dissatisfaction with working conditions and wages is an avoidable cause of labour turnover because management can remedy it through better pay, supervision and environment. Death, superannuation retirement and permanent disability are unavoidable causes that management cannot prevent.
- ADeath of a worker
- BRetirement on reaching superannuation age
- CDissatisfaction with working conditions and wagesCorrect
- DPermanent disability due to illness
Explanation
Avoidable causes are those management can control, such as poor working conditions, low wages, or poor supervision. Death, retirement and permanent disability are unavoidable causes beyond management's control.
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