Which term describes a raise in salary based on an employee's performance?

The term that describes a raise in salary based on an employee's performance is merit increases. Merit increases are specifically designed to reward employees for their contributions, achievements, and overall performance within the organization. They are often part of performance appraisals, where an employee's success in meeting or exceeding goals is evaluated, leading to an adjustment in salary that reflects that performance.

This concept emphasizes the relationship between compensation and performance, encouraging employees to strive for excellence in their roles. Merit increases serve as an incentive for continued high performance, while also helping to retain talent within the organization, as employees feel recognized and rewarded for their efforts.

The other options provided, such as employee benefits, work-life balance, and job security, refer to different aspects of employee well-being and organizational dynamics but do not pertain directly to performance-based salary raises. Employee benefits relate to the non-wage compensations offered by an employer, work-life balance focuses on how employees manage their professional and personal lives, and job security refers to the assurance employees have regarding the continuity of their employment. None of these directly link salary increases to personal performance outcomes as merit increases do.