Question : Statement 1: Job evaluation has no connection to compensation.
Statement 2: Job evaluation helps determine fair compensation for jobs.
Option 1: Both statements are true.
Option 2: Statement 1 is true, but statement 2 is false.
Option 3: Statement 2 is true, but statement 1 is false.
Option 4: Both statements are false.
Correct Answer: Statement 2 is true, but statement 1 is false.
Solution : The correct answer is (c) Statement 2 is true, but statement 1 is false.
Statement 1 is false. Job evaluation is a systematic process used to determine the relative worth of jobs within an organization. It is directly linked to compensation practices, as the evaluation results help establish a fair and equitable pay structure.
Statement 2 is true. The primary purpose of job evaluation is to assess and determine the value of different jobs within an organization, providing a basis for fair and consistent compensation decisions.
