Question

Consider the following statements: Which is/are correct ?

1. Fayol’s principle of equity implies equal opportunity and fairness for all employees.
2. Stability of tenure ensures lower turnover and better efficiency.
3. High employee turnover reduces recruitment and training costs.

• A. 2 wrong, 3 correct
• B. 1, 2 correct
• C. 2 only correct
• D. 1 wrong, 3 correct

Answer 1

Answer:

B. 1, 2 correct

• Equity means fairness and justice. Stability improves efficiency; high turnover increases recruitment/training costs.