Exam-style questions: Short answer and data response

1 Joe owns a business which produces wooden furniture. He employs 20 workers in the
Production department and three workers in the offices. Joe pays all his workers wages which
are calculated by time rate, but he is thinking of changing to piece rate. He has a high labour
turnover from the factory as his workers are not well motivated.

a Define 'piece rate’.: occurs when workers are paid by the unit performed (e.g. the number
of tee shirts or bricks produced) instead of being paid on the basis of time spent on the job.

[2]

b Identify two examples of non-financial benefits Joe could give to his employees.

customer satisfaction, employee engagement

c Outline two reasons why many employees leave their job at the furniture company.

Feeling underpaid
No longer challenged

d Explain two ways Joe can improve the job satisfaction of his employees.
Employees want to feel heard. By regularly asking for their feedback and putting their ideas into
place, you'll make them feel valued. Create an action plan to implement their feedback and be
transparent about your progress as an organization.

e Do you think a wage calculated by piece rate is a suitable method of payment for all Joe’s
employees? Justify your answer.
I think a wage caculated by piece rate it make people more work

2 Sasha is a hotel manager. She has 30 employees and they are divided into teams working in
the following departments: kitchen; restaurant; hotel reception; housekeeping (room cleaning).
Two of the hotel receptionists have been trained by Sasha in some aspects of hotel
management. A modern hotel has recently opened two kilometres away. Sasha wants to
improve the motivation of all the employees and is thinking of introducing a bonus. She thinks
it will make the hotel more profitable
Enhanced customer service
- motivated
emplovees alwavs take ownership of
their job. In hospitality, it is important to
provide best quality customer service.
Having motivated employees mean
employees are ready to serve customers
in the best possible way.
2. Employee retention
I- since a new
hotel has just opened up, they will be
looking for hiring people locally, to retain
her current employees it is important for
Sasha to keep her employees motivated.