Mgmt 3325

On average, employers' cost of benefits to employees accounts for what percentage of their total payroll costs?

7 percent

According to research, what range of merit increase is necessary to serve as a pay motivator?

7 to 9 percent

For real wages to increase, which of the following must be true?

An employee's wage increase must be greater than the increase in the consumer price index (CPI)

Which of the following falls into the category of enterprise incentive plans?

Stock options

An incentive pay program's performance threshold sets which of the following?

The minimum level an employee must reach in order to qualify for variable pay

SkyGen uses an MBO program for its performance reviews. Jayde, the manager, and Lynze, the subordinate, are working through that process. Now that a review of the organization performance has been completed, what is the next step?

The next step is to set the organization's common goals and objectives.

Which of the following explains why a company would increase the amounts that employees have to pay toward their benefits by increasing premiums or deductibles?

To contain costs

Flexible benefit plans

allow employees to choose benefits suited to their needs

Employee wages and salaries, incentives, bonuses, and commissions are part of

direct compensation

Employee recognition programs, rewarding jobs, organizational support, work environment, and flexible work hours to accommodate personal needs all fall white in the category of

nonfinancial compensation

Steph, an extremely efficient worker who is capable of producing more units per hour, works in a company that uses a piecework system. However, Steph monitors the productivity rate of colleagues and is careful to never work at a faster pace than them. By limiting personal productivity in this way, Steph wants to avoid

rate busting

Laid off employees who have been working in an employment covered by the Social Security Act may get unemployment insurance benefits for up to how many weeks?

26

A worker at Globisys paid under a straight piecework rate made $22.75 an hour this week. If each unit took the employee 12 minutes to produce, what is the piece rate per unit?

4.55

For the Family and Medical Leave Act to apply to an organization, it must have how many employees during 20 or more calendar workweeks in the current or preceding year?

50

Which of the following falls outside of what is considered pay-for-performance?

Base salary

VirtualCorp is designing information to present to employees about benefit programs available at the company. Which of the following suggestions would be most helpful as the company undertakes this task?

Be upfront about the pros and cons of different benefit plans

Which of the following statements presents a guideline for meeting legal requirements of performance reviews?

Employee evaluations must be based on clear, written job standards.

Which of the following statements about the Family and Medical Leave Act is accurate?

FMLA mandates continuation of medical coverage.

Which of the following best describes the design of individual incentive plans?

Flexibility

SkyGen uses an MBO program for its performance reviews. Yasin, the manager, and Riley, the subordinate, are working through that process. They have reached the point where they are ready to perform an interim review. Which of the following should they do at this stage?

Inappropriate goals and metrics should be deleted.

SkyGen uses an MBO program for its performance reviews. Rane, the manager, and Lou, the subordinate, are working through that process. Rane has listed goals and metrics for Lou, and Lou has proposed personal goals and metrics. What is the next step in the process?

Reach mutual agreement on goals and metrics.

Developmental purposes of performance appraisal include which of the following?

Recognizing individual performance

Performance-related behavior such as leadership ability, ability to delegate, and employee supportiveness may best be appraised by

Subordinates

Which of the following statements about domestic partnerships is accurate?

Two people cohabiting, who are in a committed and mutually financially dependent relationship, are considered domestic partners.

When setting performance measures for incentive systems, we can say that the best measures are those that

are quantitative, simple to understand, and show a clear relationship to improved performance.

Social Security payments of survivors' insurance benefits calculations are

based on the worker's lifetime earnings covered by Social Security.

A manager who rates an average employee's performance high based on a comparison of that employee to poor performers commits a

contrast error

Which of the following is an external factor that can influence the rates at which employees are paid?

cost of living

As the workforce has become more diverse, more employers are now willing to provide benefits to employees who establish a

domestic partnership.

The fact that people make comparisons to others is central to

equity theory

Clauses in labor agreements that provide for quarterly cost-of-living adjustments in wages, basing the adjustments on changes in the consumer price index are known as

escalator clauses.

A common problem with performance management systems is that they

limit feedback to formal reviews

A manager who rates an employee's performance largely on the basis of the employee's behavior in the last month, rather than considering the entire six-month evaluation period, commits a

recency error

Instrumentality of compensation package elements refers to

rewards that are valued and motivate employees

Raj likes to give small rewards to employees "caught in the act" of doing something good, even if that effort is not directly tied to a performance standard. By doing this, Raj is making use of a

spot bonus

The pay for employees on the GRX line at Globisys is not based on the actual amount of time it takes them to complete a job. Rather, they are paid based on a predetermined amount of time for completing the job. These employees are working under the

standard hour plan.

The strategic relevance of performance appraisals refers to the extent to which

standards relate to the overall objectives of the organization.

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.

Piecework is appropriate when

the job is fairly standardized

Pay-for-performance programs

tie rewards to employee effort.