Some firms offer all their employees partial ownership of the company in the form of stocks because it is believed employees will be more productive when they have a stake in the company’s fortunes. Last year, employees at an electronics manufacturing company that offered stock were found to be 10 percent more productive than the average worker in the industry.
Let's refer to this electronics manufacturing company as 'X'
Passage summary: X offered stock to its employees. After offering stock, the productivity of the employees increased by 10%.
We have been asked to counter this argument. In order to do so, we need to find an answer choice that weakens the link between offering stock and increasing productivity; In other words,
we need to find an other reason (other than offering stock) that led to the improvement in productivity. Let us analyze the available answer choices:
A.
Employees at an automobile plant with a similar program showed similar increases in productivity. - Irrelevant. hence,
eliminate (A). B.
Companies that offer partial ownership to their employees tend to bring in less revenue than companies that do not. - Irrelevant. Hence,
eliminate (B). C.
Not all employees are interested in acquiring stock in the company they work for. - Knowing the interests of the employees does not weaken the conclusion drawn. hence,
eliminate (C)D.
Last year, the electronics manufacturing company replaced its production machinery with state of the art technology. - Okay. State of the art technology will certainly improve the productivity. This explains an alternative reason why the company was able to observe an increase in productivity (other than the cited reason of 'offering stock'). Hence,
(D) is the right answer. E.
Employees at the electronics manufacturing firm make slightly more than the industry average in wages. - Irrelevant. hence,
eliminate (E).