Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

What is the expected outcome of ensuring just and equitable remuneration, according to the principle of 'Remuneration of employees'?

Options:

Increased competition among employees

Congenial atmosphere and good relations between workers and management

Excessive financial burden on the company

Decreased motivation among employees

Correct Answer:

Congenial atmosphere and good relations between workers and management

Explanation:

The correct answer is option 2- Congenial atmosphere and good relations between workers and management.

The overall pay and compensation should be fair to both employees and the organisation. The employees should be paid fair wages, which should give them at least a reasonable standard of living. At the same time it should be within the paying capacity of the company. In other words, remuneration should be just and equitable. This will ensure congenial atmosphere and good relations between workers and management. Consequently, the working of the company would be smooth.