Question 1

Providing fair compensation to an employee so that their basic needs can be met is known as paying a comparable worth wage.

Accepted Answer

A) True 
 B)False  False

Question 2

When labor supply is less than labor demand which of the following is True?

Accepted Answer

A)  Less money is needed to recruit. 
B)  Wages can remain unchanged. 
C)  The labor market is considered loose. 
D)  Wages are generally increased. 
E)  This is considered an ideal scenario for employers. 
A)  Less money is needed to recruit. 
B)  Wages can remain unchanged. 
C)  The labor market is considered loose. 
D)  Wages are generally increased. 
E)  This is considered an ideal scenario for employers. D

Question 3

When the jobs within an organization valued appropriately relative to each other this is known as:

Accepted Answer

A)  equity theory. 
B)  internal alignment. 
C)  job evaluation. 
D)  external alignment. 
E)  job ranking. 
A)  equity theory. 
B)  internal alignment. 
C)  job evaluation. 
D)  external alignment. 
E)  job ranking. B

Question 4

Explain three key components of the Fair Labor Standards Act. How does this regulation impact how organization's design their compensation systems?

Accepted Answer

The FLSA is monitored by the Wage and Ho

Question 5

An organization's pay policy is generally created during the process of ________, which assigns dollar amounts to jobs to ensure internal and external alignment.

Accepted Answer

The answer of An organization's pay policy is generally created...

Question 6

Explain the pros and cons of using a merit based compensation system to give employee wage increases.

Accepted Answer

Positives about a merit based compensati

Question 7

An organization following a differentiation strategy will most likely pay wages that lead the market in order to attract the very best applicants.

Accepted Answer

A) True 
 B)False

Question 8

Identify and explain three examples of how external factors can influence compensation programs.

Accepted Answer

An organization which is faced with a ti

Question 9

In order to reduce the complexity of the ________ process some organizations use ________ to consolidate their pay grades into larger grades.

Accepted Answer

job pricin

Question 10

When jobs in an organization are valued against each other rather than against some external standard of what is typically a "male" job or a "female" job this is known as:

Accepted Answer

A)  minimum wage. 
B)  living wage. 
C)  comparable worth. 
D)  internal equity. 
E)  external equity. 
A)  minimum wage. 
B)  living wage. 
C)  comparable worth. 
D)  internal equity. 
E)  external equity.

Question 11

Having to disclose executive pay rates due to legal requirements is an example of:

Accepted Answer

A)  direct market pricing. 
B)  a closed pay system. 
C)  competency based pay system. 
D)  an open pay system. 
E)  broadbanding. 
A)  direct market pricing. 
B)  a closed pay system. 
C)  competency based pay system. 
D)  an open pay system. 
E)  broadbanding.

Question 12

The Walsh-Healey Act introduced the concept of paying "prevailing wage" to employees who worked for employers with federal contracts.

Accepted Answer

A) True 
 B)False

Question 13

If an organization's culture values "green" behaviors in order to help the environment, their compensation system may include:

Accepted Answer

A)  offering direct deposit. 
B)  providing employee's "perks," such as free bus passes to limit commuting. 
C)  reimbursement for educational activities. 
D)  commissions based on the number of sales each week. 
E)  a fixed base pay with merit increases. 
A)  offering direct deposit. 
B)  providing employee's "perks," such as free bus passes to limit commuting. 
C)  reimbursement for educational activities. 
D)  commissions based on the number of sales each week. 
E)  a fixed base pay with merit increases.

Question 14

When a job is valued appropriately relative to every other job in the same organization in terms of its ability to help the organization achieves its objectives is considered ________.

Accepted Answer

The answer of When a job is valued appropriately relative...

Question 15

When determining how to set their level of wages, an organization should consider the following:

Accepted Answer

A)  Leading the market will not attract more or better applicants. 
B)  Paying at market will help control labor expenses. 
C)  Lagging the market will lead to increased pay satisfaction. 
D)  Leading the market will create turnover. 
E)  Paying at market will decrease the number of applicants. 
A)  Leading the market will not attract more or better applicants. 
B)  Paying at market will help control labor expenses. 
C)  Lagging the market will lead to increased pay satisfaction. 
D)  Leading the market will create turnover. 
E)  Paying at market will decrease the number of applicants.

Question 16

Giving an employee a raise or reclassifying a job into a lower grade are both ways to eliminate a ________ issue.

Accepted Answer

The answer of Giving an employee a raise or reclassifying...

Question 17

When using the point method of job evaluation all of the following are ways to ensure the objectivity of the method EXCEPT:

Accepted Answer

A)  selecting appropriate benchmark jobs. 
B)  ranking benchmark jobs based on skill level required. 
C)  correctly identifying the compensable factors. 
D)  assigning appropriate weights to each compensable factor. 
E)  correctly using the point manual. 
A)  selecting appropriate benchmark jobs. 
B)  ranking benchmark jobs based on skill level required. 
C)  correctly identifying the compensable factors. 
D)  assigning appropriate weights to each compensable factor. 
E)  correctly using the point manual.

Question 18

Giving an employee a pay increase based on how well they have performed over the course of the last evaluation period is known as a:

Accepted Answer

A)  COLA. 
B)  commission. 
C)  variable pay. 
D)  merit increase. 
E)  skill-based pay plan. 
A)  COLA. 
B)  commission. 
C)  variable pay. 
D)  merit increase. 
E)  skill-based pay plan.

Question 19

Which of the following company characteristics would be an example of an employer most likely to use both fixed and variable compensation in relatively equal amounts?

Accepted Answer

A)  smaller employer 
B)  larger employer 
C)  older employer 
D)  highly technological employer 
E)  global employer 
A)  smaller employer 
B)  larger employer 
C)  older employer 
D)  highly technological employer 
E)  global employer

Question 20

Pay grades in your organization have been adjusted due to a recent salary survey. The Mechanic I position now has a pay range which starts at $15.00 per hour and has a maximum of $22.00 per hour. Joshua is a Mechanic I who started about a year ago and is making $14.25 therefore he would be considered:

Accepted Answer

A)  at the midpoint. 
B)  red-circled. 
C)  green-circled. 
D)  benchmarked. 
E)  broadbanded. 
A)  at the midpoint. 
B)  red-circled. 
C)  green-circled. 
D)  benchmarked. 
E)  broadbanded.

Providing fair compensation to an employee so that their basic needs can be met is known as paying a comparable worth wage.

When labor supply is less than labor demand which of the following is True?

When the jobs within an organization valued appropriately relative to each other this is known as:

Explain three key components of the Fair Labor Standards Act. How does this regulation impact how organization's design their compensation systems?

An organization's pay policy is generally created during the process of ________, which assigns dollar amounts to jobs to ensure internal and external alignment.

Explain the pros and cons of using a merit based compensation system to give employee wage increases.

An organization following a differentiation strategy will most likely pay wages that lead the market in order to attract the very best applicants.

Identify and explain three examples of how external factors can influence compensation programs.

In order to reduce the complexity of the process some organizations use to consolidate their pay grades into larger grades.

When jobs in an organization are valued against each other rather than against some external standard of what is typically a "male" job or a "female" job this is known as:

Having to disclose executive pay rates due to legal requirements is an example of:

The Walsh-Healey Act introduced the concept of paying "prevailing wage" to employees who worked for employers with federal contracts.

If an organization's culture values "green" behaviors in order to help the environment, their compensation system may include:

When a job is valued appropriately relative to every other job in the same organization in terms of its ability to help the organization achieves its objectives is considered ________.

When determining how to set their level of wages, an organization should consider the following:

Giving an employee a raise or reclassifying a job into a lower grade are both ways to eliminate a ________ issue.

When using the point method of job evaluation all of the following are ways to ensure the objectivity of the method EXCEPT:

Giving an employee a pay increase based on how well they have performed over the course of the last evaluation period is known as a:

Which of the following company characteristics would be an example of an employer most likely to use both fixed and variable compensation in relatively equal amounts?

Managing Employees for Competitive Advantage

Organizational Demands and Environmental Influences

Regulatory Issues

Job Design and Job Analysis

Workforce Planning

Recruitment

Selection

Training and Development

Performance Management

Incentives and Rewards

Employee Benefits and Safety Programs

Labor Unions and Employee Management

Creating High Performing Hr Systems

Filters

Exam 10: Compensating Employees

Providing fair compensation to an employee so that their basic needs can be met is known as paying a comparable worth wage.

When labor supply is less than labor demand which of the following is True?

When the jobs within an organization valued appropriately relative to each other this is known as:

Explain three key components of the Fair Labor Standards Act. How does this regulation impact how organization's design their compensation systems?

An organization's pay policy is generally created during the process of ________, which assigns dollar amounts to jobs to ensure internal and external alignment.

Explain the pros and cons of using a merit based compensation system to give employee wage increases.

An organization following a differentiation strategy will most likely pay wages that lead the market in order to attract the very best applicants.

Identify and explain three examples of how external factors can influence compensation programs.

In order to reduce the complexity of the ________ process some organizations use ________ to consolidate their pay grades into larger grades.

When jobs in an organization are valued against each other rather than against some external standard of what is typically a "male" job or a "female" job this is known as:

Having to disclose executive pay rates due to legal requirements is an example of:

The Walsh-Healey Act introduced the concept of paying "prevailing wage" to employees who worked for employers with federal contracts.

If an organization's culture values "green" behaviors in order to help the environment, their compensation system may include:

When a job is valued appropriately relative to every other job in the same organization in terms of its ability to help the organization achieves its objectives is considered ________.

When determining how to set their level of wages, an organization should consider the following:

Giving an employee a raise or reclassifying a job into a lower grade are both ways to eliminate a ________ issue.

When using the point method of job evaluation all of the following are ways to ensure the objectivity of the method EXCEPT:

Giving an employee a pay increase based on how well they have performed over the course of the last evaluation period is known as a:

Which of the following company characteristics would be an example of an employer most likely to use both fixed and variable compensation in relatively equal amounts?

Managing Employees for Competitive Advantage

Organizational Demands and Environmental Influences

Regulatory Issues

Job Design and Job Analysis

Workforce Planning

Recruitment

Selection

Training and Development

Performance Management

Incentives and Rewards

Employee Benefits and Safety Programs

Labor Unions and Employee Management

Creating High Performing Hr Systems

Filters

In order to reduce the complexity of the process some organizations use to consolidate their pay grades into larger grades.