📊 GMAT Exam Prep

A study of small businesses showed that those offering flexible work schedules experienced significantly lower employee turnover rates compared to those with rigid schedules, even when controlling for salary and benefits. However, businesses with flexible schedules reported only a marginal increase in overall productivity.

A Flexible work schedules primarily benefit employees by improving job satisfaction.
B Increased job satisfaction among employees does not necessarily lead to substantial gains in productivity.
C The costs associated with employee turnover are relatively minor for small businesses.
D Flexible work schedules are more difficult to implement effectively in small businesses than in larger ones.

✓ Correct Answer: Option B

The passage indicates flexible schedules reduce turnover (implying higher satisfaction), but productivity barely increased. This suggests that while employees may be more satisfied and stay longer, this doesn't automatically translate into significant productivity improvements.

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