Asked by
Mbalentle Futshane
on Nov 16, 2024
Verified
Efficiency wages may decrease employee turnover.
Efficiency Wages
Wages set above the market equilibrium level by employers to increase productivity, discourage turnover, and attract better talent.
Employee Turnover
The rate at which employees leave a company and are replaced by new employees, affecting organizational efficiency and continuity.
- Understand the concept of efficiency wages and their effects on labor market outcomes.
Verified Answer
KG
Learning Objectives
- Understand the concept of efficiency wages and their effects on labor market outcomes.