Exam 3: Traditional Bases for Pay: Seniority and Merit

This term is defined as added pay for employees who have reached the maximum of a pay grade and who are unlikely to move into higher grades.

Which two factors should compensation professionals consider before endorsing the use of merit pay systems?

In 2011,employees were expected to earn average merit increases of what percent?

With the ________ comparative appraisal technique,supervisors compare each employee to every other employee,selecting the best performer in each dyadic instance.

With these errors,supervisors tend to rate employees' performances lower than they would be if compared against objective criteria.

This occurs when a rater generalizes good performance behavior in one aspect of the job to all aspects of the job.

Among the various performance appraisal techniques,________ is the only one based on actual observable job behaviors.

An appraisal system that requires all employees be placed in groups that span the spectrum from well above average to well below average performance is called a ________ performance appraisal.

This type of appraisal error takes place when managers rate employee's performance more highly than they should compared with objective criteria.

This term refers to the minimum pay increase that employees view as a significant change in their compensation amount.

A manager in a company gives higher performance appraisal rating to employees whose children attend the same elementary school as his/her children than employees without any children.What kind of rater error was made by the manager?

A company of 15 employees has recently decided to overhaul its performance appraisal system.Which plan would be most appropriate for the company to adopt? Why?

________ pay increase refers to the minimum pay increase that employees will as making a worthwhile change in compensation.

When supervisors rate all employees close to average,they commit errors of ________.

Which of the following is based on the human capital theory?

The concept that employee's knowledge and skills can be used to generate superior productivity is known as ________ theory.

There are 15 animal keepers working for the XYZ Company.Their supervisor is required to rate the performance of these workers based on the following criteria: 30% of the animal keepers will be rated as below-average,40% of the animal keepers will be rated as average,and 30% of the animal keepers will be rated as above average.What type of performance appraisal is used?

This term refers to a difference between the output of a human judgment process and that of an objective,accurate assessment.This difference could be due to bias,prejudice,or other subjective,extraneous influences.

Jack works at an auto dealer as a sales professional.At the beginning of every year,he and his supervisor determine objectives for Jack together,which are tied to corporate objectives.One of the objectives is related to the customer satisfaction.Jack always remains in contact with customers to whom he sold cars even after six months following the sale.His performance appraisal partially depends on the customer satisfaction survey results.What kind of performance appraisal method does this auto dealer use for Jack?

Which of the following is an advantage of seniority pay systems?