BUSI 440_Test 3
Flexible Benefit Plan (Cafeteria plan)
employees are allotted a fixed amount of money and permitted to spend that amount in the purchase benefit options
Employee Stock Ownership Plan (ESOP)
A company makes a tax deductible contribution of stock shares or cash to a trust
Coinsurance
A proportion of insurance premiums are paid by the employee
Balance Scorecard
Acknowledges that bottom line success doesn't just happen.
Halo Error
An appraiser giving favorable ratings to all job duties based on impressive performance in jut one job function.
Deductible
An employee claim for insurance coverage is preceded by the requirement that the first $$ be paid by the claimant.
Defined Benefits Plan
An employer agrees to provide a specific level of retirement pension which is expressed either a fixed dollar or percentage-of-earnings amount that may vary
Employee Benefits
Are that part of the total compensation package, other than pay for time worked, provided to employees in while or in part by employer payments
Central Tendency Error
Avoiding extremes in ratings across employees
Profit Sharing Plan
Can be considered a defined contribution pension plan if the distribution of profit is delayed until retirement
Leniency Error
Consistently rating someone higher than is deserved
Spillover Error
Continuing to downgrading an employee for performance errors in prior rating periods
Administrative Cost Containment
Controlling cots through policies such as seeking competitive bids for program delivery
Benefit Cutbaks
Corresponding to wage concessions, some employers are negotiating with employees to eliminate employer contribution or reduce them to selected options
Fair Labor Standards Act 1938
Created time and a half overtime pay. Benefits linked to pay increase correspondently with those overtime hours.
Cash Balance Plan
Defined plans that look like a defined contribution plan
Fist Impression Error
Developing a negative or positive opinion of an employee early in the review period and allowing that to negatively or positively influence all later perceptions of performance
Straight Ranking
Employees are ranked relative to each other
Benefit Ceiling
Employers establish a maximum payout for specific claims exp: limit hospital stay to $150,000
Defined Benefit Plans
Employers establish the limits of their responsibilities for employee benefits in terms of specific benefits and options included.
Spillover Effect
Employers seek to avoid unionization by offering workers the wages benefits, and working conditions won in rival unionized firms
Consolidated Omnibus Budget Reconciliation Act (COBRA)
Enacted this law to provide current and former employees and their spouses and dependents with a temporary extension of group health insurance when coverage is lost due to qualifying events
Family and Medical Leave Act
Entitles all eligible employees to receive unpaid leave up to 12 weeks per year for specified family and medical reasons
Probationary Periods
Excluding new employees from benefit coverage until some term of employment is complete
Performance Dimension Training
Exposes supervisors to the performance dimensions to be used in rating
Clone error
Giving better ratings to individuals who are like the rater in behavior and/or personality.
Performance Standard Training
Provides raters with a standard of comparison or frame of reference for making appraisals
Dual Coverage
In families where both spouses work there is frequently coverage of specific claims form each employer's benefit package
Management By Objectives (MBO)
Is both a planning and an appraisal tool that has many different variations across firms
Benefit Limitations
It is not uncommon to limit disability income payments to some maximum percentage of income and to limit medical/dental coverage for specific procedures to a certain fixed amount
Health Insurance Portability and Accountability Act (HIPAA)
Lesson an employer's ability to deny coverage for a preexisting condition and prohibit discrimination on the basis of health-related status
Deferred Wage Increase
Negotiated at the time of initial contract negotiations with the timing and amount specified in the contract.
Alternation Ranking
Recognizes that raters are better at ranking people at extreme ends of the distribution
Vesting
Refers to the length of time an employee must work for an employer before he or she is entitled to employer payments made into the pension plan
Rankning Format
Requires that the rater compares employees against each other to determine the relative ordering of the group on some performance measure
Copay
Requiring that employees pay a fixed or percentage amount for coverage
Paired Comparison Ranking
Simplifies the ranking process by forcing raters to make ranking judgement about discrete pairs of people
Reopener Clause
Specifies that wages, and sometime such nonwage items as pension and benefits, will be renegotiated at a specific time or under certain conditions
Defined Contribution Plan
The employer makes provision for contributions to an account set up for each participating employee.
Rater Error Training
The goal is to reduce psychometric errors by familiarizing raters with their existance
Horn Error
The opposite of halo error. Downgrading an employee early in he review period and allowing that to negatively of positively influence all later perceptions of performance
Recency Error
The opposite of the first impression error. Allowing performance, either good or bad, at the end of the review period to play too large a role in determining an employee's rating for the entire period
Severity Error
The opposite of the leniency error. Rating individuals consistently lower than is deserved
Performance Ratings
The things we enter into an employee's permanent records
360 Degree Feedback
This system us used in conjunction with supervisory reviews. The method accesses employee performance fro five points of view: supervisor, peer, self, customer, and subordinate
Two-Tier Pay Plans
Wage structure that pay based upon hiring date
Standard Rating Scale
When adjectives are used to anchors the format is called
