Question

Which of the following affects employers’ decisions on how much to pay their workers?

Maximizing costs
Maximizing profits
Minimizing profits
Minimizing benefits

Answer 1

The primary factor that affects employers’ decisions on how much to pay their workers is **Maximizing profits**. Employers consider labor costs as part of their overall expenses, and they aim to balance adequate pay to attract and retain talent while also keeping their expenses in line to maintain or improve profitability.