ch. 11-14

which act was passed in 2010 to help reform the US health-care system?

affordable care act

when do long term disability plans of into effect?

after 6 weeks

Once a pay structure is in place, the determination of ____ becomes a more systematic, orderly procedure.

an individuals pay

a group of employees eligible to vote in a representation election?

bargaining unit o

what is the single most important qualification for eliminating the trust gap?

being sincere

when a package of benefits, both basic and optional items included, is offered to workers, and each worker can pick and choose among the alternative options?

cafeteria benefits

what form of union security is legal in right-to-work states?

checkoff

_____ includes both financial and non-financial rewards

compensation

the brand objective of the design of _______ programs is to integrate salary and benefits into a package that will encourage the achievement of an organizations goals

compensation

a situation in which one group of patients pays less than the true cost of their medical care?

cost shifting

who pays formats of the nations health-care premiums

employers

the law requires states to create and maintain health care _____, in which health insurance providers compete for customers on equal terms.

exchanges

_____ are the wages paid by an organization that are competitive outside the organization

external equity

managed care relies on a _____ system of cost controls

gatekeeper - a primary care physician who monitors the medical history and care of each employee and his or her family

_______ are pay rates fair in terms of relative worth of individual jobs to an organization

internal equity

what happens as a bargaining unit gets bigger?

it is more difficult for union to win

occur when employees receive an end-of-year bonus that does not build into base pay

lump sum bonuses

___ are plans in which the employer pays the full cost of the premiums

noncontributory plans

Sorting effects

occur when those who do not want to have their pay tired to their performance do not accept jobs at companies that offer them, or they leave when pay for performance is implemented

bargaining impasse

occurs when parties are unable to move further toward settlement

______ include anything an employee values and desires that an employer is able and willing to offer in exchange for employee contributions

organization reward systems

team incentives provide an opportunity for each team member to receive a bonus based on the ___

output of the team as a whole

______ plans pay out if a firm meets its profitability target

profit-sharing

the PPA provides ____ protection for employers from complex and costly compliance regulations

safe harbor

the CIO was known for ____, in which workers refused to leave the premises until employers met their demands for recognition

sit-down strikes

An incentive pay system should include training supervisors on the mechanics of performance appraisal

true

Many incentive systems are improperly designed, and, therefore, do not work.

true

a clause designed to force all employees to join a union in order to remain employed?

union-security clause

sit-down strikes, slowdowns, and wildcard strikes, where the participants may be discharged by their employer, are examples of which type of strike?

unprotected

At lower levels, ___systems almost guarantee cost control

variable factores

in the context of pension plan termination, employees must be ____ in order to be entitled to any benefits in their pension plans

vested

distributive bargaining

win-lose bargaining

integrative bargaining

win-win bargaining

ways to kick off an organizing campaign

1. employees themselves may begin it 2. employees may request that a union begin one for them 3. in some instances, national and international unions may contract employees in organizations that have been targeted for organizing

advantages to grievance procedure

1. ensures that the complains and problems of works can be heard, rather than simply allowed to fester 2. grievance procedures provide formal mechanisms to ensure due process for all parties

forms pf pay compression

1. hourly pay increases for unionized employees that exceed those of salaried and nonunion employees 2. recruitment of new college graduates for management at salaries above those of current job holders 3. excessive overtime payments to some employees

Major changes on company philosophies concerning pay and benefits:

1. increased willingness to reduce the size of the workforce 2. less concern with pay position relative to that competitors and more concern with what company can afford 3. implication of programs to encourage and reward performance - making pay more variable

disadvantages to pay openness:

1. it forces managers to publicly defend their pay decisions 2. it may induce some managers to reduce pay different

3 general types of third party involvement

1. mediation 2. fact finding 3. interest attribution

prohibited by law for management to do during the election campaign?

1. physical interference, threats, violent behavior toward union organizers 2. interference with employees involved with the organizing drive 3. discipline or discharge of employees for pro-union activities 4. promises to provide or withhold future benefits depending on the outcomes of the representation election

Identify the objectives in communicating the benefits

1. to make employee aware 2. to help employee understand 3.to make employee confident that they can trust the info 4. to show employees benefits will meet their needs and help reach personal goals

in the US, workers represented by unions are estimated to earn wages that are approx. ___% higher than comparable non-union workers

18%

companies do which of the following when compensation is viewed from a strategic perspective?

2. they recognize compensation as a pivotal control and incentive mechanism that can be used flexibly by management to attain business objectives. 2. make the pay system an integral part of strategy formulation. 3. integrate pay considerations into strategic decision-making processes, such as those that involve planning and control. 4. they view the sims performance as the ultimate criterion of the success of strategic pay decisions and operational compensation programs.

unions lose about ____ of decertification elections

2/3rds

the rate of cases going to interest arbitration has rarely exceeded ___%

25%

when companies implement programs for health promotion, companies save about ___ for every dollar spent

3.40$

an illness or accident will keep 1 in ___ employees out of work for at least a year before the age of 65

5

what % of Change to Wins budget goes to field organizing?

75%

what % of the workforce is covered by federal and state unemployment laws?

97%

unions tend to emphasize during organizing campaigns?

- improving work conditions -ensuring workers treated fairly

ways that SS will have to be reformed to meet long-term funding needs?

- raising revenues -adjusting benefits for high versus low earners -come combination of the two

reasons benefits have grown

- the imposition of wage ceilings during WW II forces organizations to offer more benefits in place of wage increases to attract, retain and motivate employees - the interest by unions in bargaining over benefits has grown because employers are pushing for more cost-sharing by employees -the tax treatment of benefits makes them preferable to ages -granting benefits or bargaining over them confers to aura of social responsibility on employers ("taking care of their employees)

"rules of thumb" in developing a pay structure?

-Jobs of the same general value should be clustered into the same pay grade -jobs that clearly differ in value should be in different pay grades -there should be a smooth pgorssion of point groupings -the new system should fit realistically into the existing allocation of pay within a company -the pay grades should conform reasonably well to pay patterns in the relevant labor markets

reasons why employee stock-ownership plans are typically established

-as a tax favored transfer of ownership -as a way of borrowing money inexpensively

employee motivation and satisfaction when it comes to employee stock-ownership plans

-employees are most satisfied when employee stock ownership plans are established for employee-centered reasons -employee satisfaction is higher in organization where the company makes large contributions to the plan

can be done by employers to welcome employees back after a strike?

-have a supervisor-employee meetings indicating no resentment -write a letter

may motivate managers to improve the pay scale for their employees?

-improve morale -attract high-calibr employees

Potential problems with pay-survey data

-inaccurate job matches -prevalence of at-risk forms of pay

which of the following circumstances do open pay-systems work best?

-individual performance can be measured objectively -effort and performance are closely related in a short time span

Which of the following do the payments of workers compensation cover?

-injured on job -contract a work related illness -payments to replace lost wages -medical treatment and rehabilitation cost -retraining to perform different type of work (if necessary)

Factors that affect the amount of reverence pay a person receives

-length of service -size of organization - cause of termination

ways employers can tempt to eliminate the trust gap?

-start with the obvious -make sure your door is really open

reasons why industrial unionism became attractive in the 1930s?

-the great depression -the emergence of rebel leaders within the AFL

once a representation election is held, how many elections can be held in that bargaining unit within a year?

0

___ out of every 10 employees are represented by a union today

1

the ____ Act allows full retirement payments after age 67

Social Security

principles have the greatest impact on benefits?

1. doctrine of constructive receipt 2. anti-discrimination rule

_____ stock refers to common stock that vests after a specified period of time

restricted

occur when formerly productive employees are allowed to slack off for several years yer receive high pay.

Annuity problems

Alternatives to pay systems based on job evaluations?

1. Market Based Pay system - uses a direct market-pricing approach for all of a firms jobs. 2. Competency-based pay system -workers are paid not on the basis of the job they currently are doing, but rather on the basis of their skills or on their depth of knowledge.

supply a list of qualified people from which arbitrators may be chosen

1. american arbitrators association 2. federal mediation and conciliation service

____are common job characteristics for which an organization is willing to pay, such as skill, effort, responsibility, and working conditions.

Compensation Factors

to what law did the Pension Protection Act of 2006 make changes?

ERISA

what law deals with pension plans?

ERISA (employee retirement income security act)

Established the first national minimum wage

Fair Labor Standards Act

what plan do employers rate the most effective of all absence-control programs?

PTO

interest arbitration

a dispute-resolution mechanism in which a neutral third party hears the position of both parties and decides on binding settlement terms

mediation

a process by which a neutral, third party attempts to help the parties in dispute t reach a settlement of the issues that divide them

spillover effect

a situation in which employers seek to avoid unionization by offering workers the wages, benefits, and working conditions that rival unionized firms do

Every year, performance standards are

raised

_____ consider the geographical boundaries as well as product-market competitors

relevant-labor markets

the most important aspect at the end of a strike?

restoring harmonious working conditions

Percentage of payroll

the total annual cost divided by total annual payroll