hr test 5
the most common cost of living adjustments are __ cents per hour for each .3 point or .4 point
1
according the compensation scorecard, functions with a compa ratio below 100% are considered to be paying their employees below the company norm
100%
the fair labor standards act prohibits the employment of those between the ages of ___ in hazardouse occupations such as mining logging and meatpacking
16-18
a us survey found that _____% of employees say that they work in a place where discussions of pay are formally prohibited and or employees caught discussing wages could be punished
19
a study on bonus vs. actual pay raises showed that improving one's pay through merit increases by 1% would increase future performance by ___%
2
the standard time for producing one unit of work in a job paying 12.75 per hour was a set at twelve minutes the piece rate would be ___ per unit
2.55
a study of 20000 employees found that ____% of high potential employees planned to leave their company by the end of 2010 due to the perceived pay inequity
27
in a 2010 survey of more than 1000 entrepreneurs, 35% of all small businesses in the united states had to make pay cuts
35%
the fair labor standards act permits employers to pay a training wage of __ per hour for employees younger than the age of twenty during their first ninety days of employment, provided their employment does not displace other workers
6.16
in certain manufacturing environments, compensation is as high as ____% of total costs and even higher for many service organizations
60
research shows that a merit increases in the range of ____ % is necessary to serve as a pay motivator
7-9
a bloomberg national poll showed that more than ____% of americans though big bonuses should be banned for wall street companies that took taxpayers bailouts
70
more than ___% of companies globally are offering variable pay programs
80
a survey by mercer found that more than ____% of private sector companies nationwide were awarding pay increases in 2011
98
the performance threshold in incentive pay programs is
a minimum level
contemporary reasons given by organizations for implementing incentive plans are
all of the above
an employees relative worth can be determined by
an effective performance appraisal system
for real wages to increase, which of the following must be true
an employees wage increase must be greater than the increase in the cpi
rate busting refers to
an increase in output that results in the disapproval of fellow employees
under the fair labor standards act, exempt employees
are those employees not covered by the overtime provisions of the act
which of the following is not a component of the cpi
automobiles
the term pay for performance can encompass all of the following except
base salary
jobs that are grouped into the same pay grade should
be paid within a range that may overlap
wages gained through collective bargaining extend
beyond the segment of the labor force that is unionized
__ helps eliminate the obsession with grades and instead encourages employees to move to jobs they can develop in their careers and add value to the organization
broadbanding
collapsing many salary grades into a few wide salary bands is known as
broadbanding
which of the following is not a form of pay equity
collective equity
using the point method of job evaluation requires that managers
compare job requirements
elements of the job such as skills, effort, responsibilities, and working conditions are referred to as
compensable factors
the ___ collects and displays the results for all the measures that a company uses to monitor and compare compensation among internal departments or units
compensation scorecard
compensation programs that compensate employees for the knowledge they possess are known as
competence based pay plans
one word _____ describes the design of individual incentive plans
comprehensiveness
which of the following is an external factor that can influence the rates at which employees are paid
cost of living
which of the following is not an internal factor internal factor affecting the pay mix
cost of living
the federal wage law that is criticized for a rule that allows minimum pay to be based on the prevailing rate, which often includes higher union wages is
davis bacon act
the biggest challenge with competence based pay is
developing appropriate measures of skills and competencies
when employees receive a higher rate of pay for all of their work if production exceeds a standard level of output they are working under which incentive place
differential piece rate
_____ encompasses employee wages and salaries, incentives, bonuses and commissiond
direct compensation
equity theory is also known as
distributive justice
which of the following is an example of non financial compensation
employee recognition programs
red circle rates above the maximum for the range can result because
employees have high seniority
when cost of living pay increases are given routinely, employees may view them as
entitlements
the fact that people make comparisons to others is central to
equity theory
clauses found in the labor agreements that periodically adjust compensation rates upward to help employees maintain their purchasing power are known as
escalator clauses
because of its focus the hay profile method is most useful for evaluating which type of job
executive and managerial
the concept that employee should exert greater work effort if they have reason to expect it will result in a valued reward forms the basis of
expectancy theory
when the organization pays wages that are relatively equal to that of other employers for similar work this is the basis of
external equity
another basis for compensation centers on whether employees are classified as nonexempt or exempt under the
fair labor standards act
the major provisions of which act are concerned with minimum wage rates and overtime payments, child labor, and equal rights
fair labor standards act
the equal pay act prohibits wage discrimination based on
gender
there is reason to believe that pay secrecy can do all of the following except
generate feelings of commitment
group incentive plans include
improshare
which of the following is not an advantage of an incentive pay program
incentives are a means to reward
employers wishing to encourage employees to accept a promotion to a job in a higher grade would
increase the size of successive rate ranges
____ comprises the many benefits supplied by employers
indirect compensation
elements of the compensation package are said to have _______ when an employees high performance leads to monetary rewards that are valued
instrumentality
job evaluation helps to establish
internal equity
____ may create problems for managers who wish to maintain pay secrecy among employees
internet salary survey data
the predominant approach to employees compensation is
job based pay
a system of job evaluation in which jobs are classified and grouped according to a series of predetermined wage grades
job classification
which system of job evaluation is being used when jobs are classified according to a series of predetermined wage grades
job classification
the federal civil service job classification system uses which type of job evaluation system
job classification system
the simplest and oldest system of job evaluation is the ____ which arrays jobs on the basis of their relative worth
job ranking
which system of job evaluation is being used when cards that list the duties and responsibilities of the job are arranged by raters in order of the importance of the job
job ranking
which is the simplest and the oldest method of job evaluation
job ranking system
wage survey data will normally be collected with the use of
key jobs
the hay profile method uses which three factors for evaluating jobs
knowledge, accountability and mental ability
the area from which employers obtain certain types of workers is known as the
labor market
in conducting a wage and salary survey for office personnel, the relevant labor market to be surveyed is most likely
local
in conducting a wage and salary survey for the job of engineer, the relevant labor market to be surveyed is most likely
national
______ includes employee recognition programs, rewarding jobs, organizational support, work environment and flexible work hours to accommodate personal needs
non financial compensation
employees covered by the overtime provisions of the fair labor standards act are labeled
nonexempt employees
according to sammer which of the following is not a characteristic of a successful incentive plan
payout formulas
____ is a pay system in which employees are paid according to the number of units
piecework
in ____ employees are paid according to the number of units they produce
piecework
when setting performance measures for incentive systems, we can say that the best measures are
quantitative simple to understand and show clear relationship to improved performance
which of the following is a common major compensable factor
responsibility
instrumentality refers to
rewards that are valued and motivate employees
employees whose compensation is calculated on the basis of weekly biweekly or monthly periods are classified as
salaried employees
with respect to pay equity theory which of the following is not considered an input
salary
most pay increases may lack motivational value to employees when
salary budgets are low
employers may ____ their workforce to help them identify the most valuable contributors
segment
which of the following compensation options would not qualify under the term pay for performance
seniority base pay
enterprise incentive plans include
stock options
when employees receive a certain rate for each unit produced, they are working under which incentive plan
straight piecework
studies have shown that variable pay plans may not achieve their proposed objectives or lead to organizational improvements due to each of the following except
taces
the measure of the average change in prices over time in a fixed market basket of goods and services is known as
the consumer price index
which of the following is an internal factor that can influence the rates at which employees are paid
the employers ability to pay
piecework is appropriate when
the job is fairly standardized
pay levels are limited in part by
the organizations profits
a quantitative job evaluation that determines a job's relative value on the basis of quantitative assessments of specific job elements is known as
the point system
the relative worth of a job evaluated using the point manual is determined by
the total points that have been assigned to the job
the exempt or nonexempt status of employees is determined by
the us department of labor
pay for performance programs
tie rewards to employee effort
which of the following is not a common goal of a strategic compensation policy
to mesh
the relationship between the relative worth of jobs and their wage rates can be represented by means of a
wage curve
the federal wage law that may require government contractors to pay overtime for more work than 8 hours a day is
walsh healy act
a job evaluation system that seeks to measure a jobs worth through its value to the organization is known as
work valuation
the job evaluation system that seeks to measure a jobs worth through its value to the organization is known as
work valuation
which job evaluation system serves to direct compensation dollars to the type of work pivotal organizational goals
work valuation
