EXAM 3 Practice Test MGMT 331

To help employees pay for the college expenses of their children and other family members, an increasing number of companies are offering a) 529 college savings plans b) Cafeteria plans c) Additional overtime d) Contributory benefit plans

Answer: a) 529 college savings plans

Collapsing many salary grades into a few wide salary bands is known as: a) Broadbanding b) Pay Ranging c) Factor Comparison d) Red Circling

Answer: a) Broadbanding

A pension plan where the amount that an employee is to receive upon retirement is set forth in advance is referred to as a: a) Defined-benefit plan b) Contributory plan c) Defined contribution plan d) Noncontributory plan

Answer: a) Defined-benefit plan

Equity theory is also known as: a) Distribution Fairness b) Administrative Justice c) Moral Justice d) Procedural Justice

Answer: a) Distribution Fairness

The decision whether a pension plan should be offered is the responsibility of the: a) Employers b) Pension Benefits Guaranty Corporation c) Employees d) Union and Department of Labor representatives

Answer: a) Employers

The purpose of a profit-sharing plan is to: a) Give employees the opportunity to increase their earnings. b) Enable workers to share in labor cost savings. c) Instill commitment to the employee's immediate work. d) Allow workers to contribute specific knowledge to improving the organization

Answer: a) Give employees the opportunity to increase their earnings

Executive compensation consists of all of the following EXCEPT: a) Proficiency Adjustments b) Perquisites c) Base Salary d) Short-term incentives

Answer: a) Proficiency Adjustments

Workers' compensation insurance may be provided through private or insurance. a) State-funded b) Employee-prepaid c) Federally-funded d) SNL-funded

Answer: a) State-funded

Under the Fair Labor Standards Act, exempt employees: a) Are required to be paid at the rate of one and a half times the irregular pay rate for hours worked in excess of 40 hours in a week b) Are those employees not covered by the overtime provisions of the Act c) Include most hourly personnel employed in interstate commerce d) Must be paid at the rate of one and a half times their regular hourly wage for time worked in excess of eight hours in a day

Answer: b) Are those employees not covered by the overtime provisions of the Act

enable individual employees to choose the benefits that are best suited to their particular needs. a) Employee self-service systems b) Cafeteria plan c) Social security plans d) Employee wellness program

Answer: b) Cafeteria plan

Which of the following is an example of non financial compensation? a) Commissions b) Employee Recognition Programs c) Health Insurance d) Bonuses

Answer: b) Employee Recognition Programs

Which system of job evaluation is being used when jobs are classified according to a series of predetermined wage grades? a) Job Ranking System b) Job Classification System c) Factor Comparison Method d) Hay Profile Method

Answer: b) Job Classification System

After an employee works for an employer for a certain period of time, the employee is entitled to the money in his or her pension plan. This employee is now: a) Endowed b) Vested c) Secured d) Integrated

Answer: b) Vested

The term pay-for-performance can encompass all of the following EXCEPT: a) Merit Pay b) Cash Bonuses c) Base Salary d) Gainsharing Plans

Answer: c) Base Salary

The Social Security insurance program is funded by: a) Employee contributions and general tax funds b) Employer contributions c) Employee contributions with matching employer contributions d) Old Age, Survivors, and Disability Insurance (OASDI)

Answer: c) Employee contributions with matching employer contributions

Under the Family and Medical Leave Act, if an employee is returned to an equivalent job, rather than his/her original job, the equivalent job must have: a) Terms of employment and promotional opportunity b) Identical pay, benefits, and promotional opportunity c) Identical pay, benefits, and terms of employment d) Promotional opportunity and benefits

Answer: c) Identical pay, benefits, and terms of employment

A typical unemployment insurance program does NOT require that: a) Recipients must be willing to accept any suitable job that is offered to them. b) All eligible individuals must register for available work. c) Recipients must be willing to accept any job that is offered to them. d) All eligible individuals must submit an application for benefits.

Answer: c) Recipients must be willing to accept any job that is offered to them.

___ is a bonus incentive plan which uses employee and management committees to gain cost-reduction improvements. a) The Rucker Plan b) Improshare c) The Scanlon Plan d) Piecework

Answer: c) The Scanlon Plan

___ includes employee recognition programs, rewarding jobs, organizational support, work environment, and flexible work hours to accommodate personal needs. a) Direct Compensation b) Financial Compensation c) Indirect Compensation d) Nonfinancial Compensation

Answer: d) Nonfinancial Compensation

Groups of physicians that contract with an employer to provide medical resources on a more cost-efficient basis in exchange for a greater share of patients are known as: a) Health Maintenance Organizations (HMOs) b) Integrated medical practices c) Major medical plans d) Preferred provider organizations (PPOs)

Answer: d) Preferred provider organizations (PPOs)

________ mandates that employers make healthcare coverage at the same rate the employer would pay available to employees, their spouses, their dependents on termination of employment, death, or divorce.

COBRA

Formal employer program can provide employees with counseling and/or treatment for problems such as alcohol , gambling, or stress.

EAP ( Employee Assistance Program)

____ are the principles of conduct governing an individual or a group.

Ethics

_____ is when an employee did something that the employer thinks is inappropriate in the employment context and is of sufficient magnitude to work dismissal.

Just-cause termination

_____ is a sequence of steps taken against an employee that are increasingly severe as violations increase.

Progressive Discipline

HMOS AND PPOS are both forms of managed care

True

Institutes that heighten security measures is a step to reduce workplace violence

True

Pay for time not worked represents one of an employers most costly benefits

True

The goal of ____ is provide sure prompt income and medical benefits to work-related accident victims or their dependents, regardless of fault.

Workers' comp