Comparison of fairness of job's pay rate to the other jobs in company is called?

Correct answer: D. internal equity

  • A. external equity
  • B. collective equity
  • C. individual equity
  • D. internal equity

Explanation

Internal equity means judging whether a job’s pay is fair compared with the pay of other jobs within the same organization. External equity instead compares the organization’s pay with market rates.

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Human resource management deals with acquiring, developing, rewarding and retaining employees within an organisation. It includes job analysis, recruitment, selection, training, performance appraisal, compensation, career planning, labour relations and workplace discipline. Recruitment attracts applicants, while selection evaluates them and chooses the most suitable candidate.

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