Question: Mark all of the statements that are not true concerning merit pay? Question options: The HR Manager pays out a maximum of about 2% as a merit pool each year. Merit pay is an incentive option that should be given on an ongoing, annualized basis in order to create entitlement. A manager should give "Top Ratings" so that everyone can get a merit increase. Merit pay is an incentive option that can be used in some team-based situations. Merit pay is an incentive option that should only reward the top performers. In a merit pay system, the company must limit the number of people in the company's executive management team. The HR Manager must communicate the value of merit pay because over the employee's entire work life, merit pay can made a big difference in total wages earned. Merit pay is an incentive option designed to reward all employees with increases in their annual wage that carry over from year to year.