Which of the following is NOT a characteristic of Pay for Knowledge?

The correct choice highlights that Pay for Knowledge does not typically offer immediate cash for performance. Pay for Knowledge systems are designed to reward employees for acquiring new skills or knowledge that enhance their ability to perform their job. These systems emphasize long-term benefits such as increased base pay and career development rather than immediate financial bonuses tied to short-term performance metrics.

In practice, Pay for Knowledge may involve assessments or tests to demonstrate skill mastery, which aligns with the need for employees to indicate their competency in newly acquired skills. Additionally, providing increases to base pay reinforces the value placed on education and skill development, motivating employees to continuously learn and grow. Focusing on learning new information is central to this compensation strategy, as it aims to cultivate a knowledgeable workforce capable of adapting to changing demands.

By contrast, immediate cash for performance typically reflects a different compensation structure, such as performance-based bonuses, where workers receive direct financial rewards for achieving specific targets within a short timeframe. Thus, this choice captures an element that is not characteristic of Pay for Knowledge systems, which are more aligned with investments in the employee's overall professional growth rather than providing instant financial rewards.