What is a primary focus of skill-based pay systems?

A primary focus of skill-based pay systems is on the range and depth of an employee’s knowledge. In these systems, compensation is not determined solely by job title or seniority but is instead tied to the employee's skill set, competencies, and abilities. This means that employees who acquire new skills or improve existing ones can increase their pay.

By emphasizing the employee’s knowledge, skill-based pay systems encourage continuous learning and development within the workforce. This can lead to greater employee engagement and can also help organizations adapt to changing market demands as employees develop a broader skill set that enhances their versatility and productivity.

The other options would not fit the framework of skill-based pay systems; for example, performance on individual tasks may be more aligned with performance-based pay rather than skill acquisition. Years of service typically relates more closely to tenure-based pay systems, and attendance does not directly reflect an employee’s skill level or capability, which are the core components of skill-based pay.