Question : Statement 1: The internal source of recruitment enables induction of fresh talent.
Statement 2: The employees may lose motivation to work better if they come to know they will automatically get time bound promotions.
Option 1: Both are true
Option 2: Both are false
Option 3: Statement 1 is true and statement 2 is false.
Option 4: Statement 1 is false and statement 2 is true.
Correct Answer: Statement 1 is false and statement 2 is true.
Solution : The internal source of recruitment prevents induction of fresh talent. By stopping in fusion of new blood into the organisation it may also lead to in breeding that is existing employees may continue to work and behave in old ways even after promotion and transfer.
Hence, option D is correct.