Ability to pay
Ability to pay is the financial position of a company and its ability to change its wage rates are general factors involved in negotiations. They are usually a reflection of company profits and will be a basis of a negotiator's wage proposal.
Definitions
According to Labor Relations and Collective Bargaining by Michael R. Carrell and Christina Heavrin (10th edition),
- Ability to pay. The financial position of a company and its ability to change its wage rates are general factors involved in negotiations. They are usually a reflection of company profits and will be a basis of a negotiator's wage proposal.
Related concepts
- Labor relations. The systematic study of attitudes, motivations, and behaviors which two or more job-market actors assume toward each another.
