Compensation & Benefits: Exam 3

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_____ is one of the best appraisal formats in terms of legal defensibility. A. BARS B. MBO C. Standard rating scales D. Ranking

A. BARS

Which of the following is a benefit under Social Security? A. Lump-sum death payments B. Job Security C. Work/life balance D. Overtime Pay

A. Lump-sum death payments

The highest level of agreement among respondents to a study of successful MBO programs was on the fact that: A. goals and objectives should be specific. B. objectives should be assigned a priority. C. objectives should include a plan of action. D. pay incentives should be attached to goals.

A. goals and objectives should be specific.

A major criticism of standard rating scales is: A. raters have different definitions of scale levels. B. employees don't understand standard scales. C. they are costly to develop. D. they encourage halo and horns errors.

A. raters have different definitions of scale levels.

The first issue in setting up a benefits package is: A. who should be protected or benefited. B. how much choice should employees have among benefits. C. how should benefits be financed. D. are benefits legally defensible.

A. who should be protected or benefited.

_____ is not an example of an approach to customer-driven health care. A. Tiered networks B. Cafeteria plans C. Managed competition D. Full-defined contribution

B. Cafeteria plans

Which of the following benefits are not mandated by state or federal legislation? A. Workers' compensation B. Pensions C. Social security D. Unemployment insurance

B. Pensions

Which of the following benefits is a federally administered program? A. Workers' compensation B. Social Security C. Job security D. Occupational Safety and Health Act

B. Social Security

A major approach to increasing employee awareness of health care choices and cost is: A. customer-driven health care. B. cafeteria plans. C. large deductibles. D. large co-pays.

B. cafeteria plans.

Rank and yank" is a _____ rating format. A. alternation ranking B. forced distribution ranking C. paired-comparisons D. BARS

B. forced distribution ranking

In the _____ benefit package, a package is designed with the average employee in mind. A. shared B. standard C. cafeteria-style D. federal

B. standard

The most reliable performance ratings are done by: A. peers. B. supervisors. C. customers. D. self.

B. supervisors.

Which of the following types of rankings would be least preferred by managers of more than 10-15 employees? A. Straight B. Alternate C. Paired comparisons D. Forced distribution

C. Paired comparisons

In _____ ranking, raters look at a list of employees, decide who the best employee is, and cross that person's name off the list. From the remaining names, the manager decides who the worst employee is and crosses that name off the list—and so forth. A. paired-comparison B. straight C. alternation D. forced distribution

C. alternation

The total cost of employee benefits in the U. S. is _____ dollars. A. two trillion B. one trillion C. four trillion D. one billion

C. four trillion

First impression error is to _____ error as leniency error is to severity error. A. halo B. horn C. recency D. clone

C. recency

When tasks are highly uncertain and it is not clear how to define successful performance, the most appropriate rating format is: A. BARS. B. MBO. C. standard rating scales. D. ranking.

C. standard rating scales

Which of the following types of workers are generally NOT covered by workers' compensation? A. State government employees B. Private sector employees C. Railroad workers D. Farm workers

D. Farm workers

In which of the following rating formats are leniency, severity, and central tendency errors not present? A. Standard rating scales B. BARS C. MBO D. Ranking

D. Ranking

Last year your performance was not very good and your performance rating was below average, but this year you have done very well exceeding your performance goals. To your surprise, your boss gives you just an average performance rating. What error has your boss most likely committed? A. Horn B. Halo C. Severity D. Spillover

D. Spillover

Raters who are low on conscientiousness and very agreeable tend to: A. be very accurate raters. B. commit central tendency error. C. commit halo error. D. commit leniency error.

D. commit leniency error.

The best way for companies to decide whether or not the company can afford a benefit is on a _____ basis. A. package B. first dollar deductible C. discounted cost D. cost-centered

D. cost-centered

Surveys show that the most highly valued benefit is: A. dental plans. B. a pension. C. paid vacation and holidays. D. medical insurance.

D. medical insurance.

Which of the following is NOT a benefit that is required by statutory law? a. Workers' compensation b. Social Security c. Pension and retirement benefits d. Unemployment compensation

c. Pension and retirement benefits


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