Question 1

Merit increases are a temporary increase in an employee's pay as long as they continue to perform at a certain level to deserve the increase.

Accepted Answer

A) True 
 B)False

Question 2

It is illegal to pay an employee at their regular hourly rate for any hours that they work over 40 in one week.

Accepted Answer

A) True 
 B)False

Question 3

Technology has impacted compensation practices in all of the following ways EXCEPT:

Accepted Answer

A)  how compensation information is tracked. 
B)  how salary survey data is collected. 
C)  how expatriate pay rates are determined. 
D)  how wage information is shared with employees. 
E)  how to determine compensable time for employees who telecommute. 
A)  how compensation information is tracked. 
B)  how salary survey data is collected. 
C)  how expatriate pay rates are determined. 
D)  how wage information is shared with employees. 
E)  how to determine compensable time for employees who telecommute.

Question 4

Salary compression is viewed as a/an:

Accepted Answer

A)  positive thing because it ensures internal alignment throughout the organization. 
B)  negative thing because pay grades are eliminated and new hire wages are determined only by market rates. 
C)  negative thing by long time employees because their wages are close to those who are new on the job. 
D)  interactional justice issue because it occurs when supervisors don't communicate compensation changes. 
E)  positive thing because it eliminates merit increases and adjusts all employees' pay by the same amount each year. 
A)  positive thing because it ensures internal alignment throughout the organization. 
B)  negative thing because pay grades are eliminated and new hire wages are determined only by market rates. 
C)  negative thing by long time employees because their wages are close to those who are new on the job. 
D)  interactional justice issue because it occurs when supervisors don't communicate compensation changes. 
E)  positive thing because it eliminates merit increases and adjusts all employees' pay by the same amount each year.

Question 5

A tipped employee may receive less than minimum wage if they earn over $30 in tips during the month.

Accepted Answer

A) True 
 B)False

Question 6

________ or ________ a salary survey are two methods to gather wage information to determine ________ competitiveness.

Accepted Answer

Conducting

Question 7

Job ranking as well as the point method are used in the factor comparison approach to job evaluation.

Accepted Answer

A) True 
 B)False

Question 8

Larger, long term organizations generally use simple pay structures due to the number of positions and pay grades that it would have to keep track of.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following would cause an organization to increase their starting rate for a position and thereby create wage compression for current employees?

Accepted Answer

A)  Increase in interest rates 
B)  Labor shortage 
C)  Decrease in inflation rates 
D)  Labor surplus 
E)  COLAs 
A)  Increase in interest rates 
B)  Labor shortage 
C)  Decrease in inflation rates 
D)  Labor surplus 
E)  COLAs

Question 10

In order to be considered a benchmark job, the job needs to be all of the following EXCEPT:

Accepted Answer

A)  currently at an appropriate wage rate. 
B)  well known and recognized. 
C)  never previously used to set wage rates in the external labor market. 
D)  clearly and concisely described. 
E)  stable over time in regard to responsibilities. 
A)  currently at an appropriate wage rate. 
B)  well known and recognized. 
C)  never previously used to set wage rates in the external labor market. 
D)  clearly and concisely described. 
E)  stable over time in regard to responsibilities.

Question 11

If an individual's job is classified as non-exempt then they are not paid overtime for any hours worked over 40 in one week.

Accepted Answer

A) True 
 B)False

Question 12

Under the FLSA all of the following pieces of information must be recorded and maintained EXCEPT:

Accepted Answer

A)  Employee birthdate 
B)  Total hours worked each week 
C)  Employee's supervisor's name 
D)  Employee gender 
E)  Pay period dates 
A)  Employee birthdate 
B)  Total hours worked each week 
C)  Employee's supervisor's name 
D)  Employee gender 
E)  Pay period dates

Question 13

Grouping jobs based on similar tasks, duties, responsibilities and qualifications is known as:

Accepted Answer

A)  equity theory. 
B)  job ranking. 
C)  job classification. 
D)  internal alignment. 
E)  point method. 
A)  equity theory. 
B)  job ranking. 
C)  job classification. 
D)  internal alignment. 
E)  point method.

Question 14

The jobs of warehouse technician, supply coordinator, and forklift operator were ranked based on the physical requirements of each position. This would be an example of:

Accepted Answer

A)  factor comparison. 
B)  a job grade. 
C)  internal alignment. 
D)  job classification. 
E)  job ranking. 
A)  factor comparison. 
B)  a job grade. 
C)  internal alignment. 
D)  job classification. 
E)  job ranking.

Question 15

A store manager, a marketing coordinator, and accounting supervisor positions all require a Bachelor's degree and at least 3 years of experience in the respective fields. Although very different in specific job duties these positions could be:

Accepted Answer

A)  job priced together. 
B)  placed on the same wage curve. 
C)  direct market priced. 
D)  eligible for the same merit increase. 
E)  broadbanded. 
A)  job priced together. 
B)  placed on the same wage curve. 
C)  direct market priced. 
D)  eligible for the same merit increase. 
E)  broadbanded.

Question 16

Rather than referring to the monetary and nonmonetary things an employee receives as compensation the term ________ is used.

Accepted Answer

The answer of Rather than referring to the monetary and...

Question 17

Providing a fair wage to a person so that basic living needs can be met 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 18

Ensuring that employees understand the compensation program at their organization and know they are being treated fairly is important in order to demonstrate interactional justice.

Accepted Answer

A) True 
 B)False

Question 19

When administering a compensation program:

Accepted Answer

A)  actual pay rates should not be shared outside of the human resources department. 
B)  open pay systems support the notion that compensation is too complicated to try to explain to employees and should be kept confidential. 
C)  managers who make compensation decisions must receive training on the process and how they should communicate about compensation. 
D)  reviewing external market data and internal alignment every five years would be sufficient. 
E)  changes should be made when employees raise questions and after careful market surveys have been completed rather than updating for the sake of updating. 
A)  actual pay rates should not be shared outside of the human resources department. 
B)  open pay systems support the notion that compensation is too complicated to try to explain to employees and should be kept confidential. 
C)  managers who make compensation decisions must receive training on the process and how they should communicate about compensation. 
D)  reviewing external market data and internal alignment every five years would be sufficient. 
E)  changes should be made when employees raise questions and after careful market surveys have been completed rather than updating for the sake of updating.

Question 20

As long as human resources representatives are available to answer compensation questions and explain how the organization's compensation system works it is unnecessary for managers to understand the details of the system.

Accepted Answer

A) True 
 B)False

Merit increases are a temporary increase in an employee's pay as long as they continue to perform at a certain level to deserve the increase.

It is illegal to pay an employee at their regular hourly rate for any hours that they work over 40 in one week.

Technology has impacted compensation practices in all of the following ways EXCEPT:

Salary compression is viewed as a/an:

A tipped employee may receive less than minimum wage if they earn over $30 in tips during the month.

or a salary survey are two methods to gather wage information to determine competitiveness.

Job ranking as well as the point method are used in the factor comparison approach to job evaluation.

Larger, long term organizations generally use simple pay structures due to the number of positions and pay grades that it would have to keep track of.

Which of the following would cause an organization to increase their starting rate for a position and thereby create wage compression for current employees?

In order to be considered a benchmark job, the job needs to be all of the following EXCEPT:

If an individual's job is classified as non-exempt then they are not paid overtime for any hours worked over 40 in one week.

Under the FLSA all of the following pieces of information must be recorded and maintained EXCEPT:

Grouping jobs based on similar tasks, duties, responsibilities and qualifications is known as:

The jobs of warehouse technician, supply coordinator, and forklift operator were ranked based on the physical requirements of each position. This would be an example of:

A store manager, a marketing coordinator, and accounting supervisor positions all require a Bachelor's degree and at least 3 years of experience in the respective fields. Although very different in specific job duties these positions could be:

Rather than referring to the monetary and nonmonetary things an employee receives as compensation the term ________ is used.

Providing a fair wage to a person so that basic living needs can be met is known as:

Ensuring that employees understand the compensation program at their organization and know they are being treated fairly is important in order to demonstrate interactional justice.

When administering a compensation program:

As long as human resources representatives are available to answer compensation questions and explain how the organization's compensation system works it is unnecessary for managers to understand the details of the system.

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

Merit increases are a temporary increase in an employee's pay as long as they continue to perform at a certain level to deserve the increase.

It is illegal to pay an employee at their regular hourly rate for any hours that they work over 40 in one week.

Technology has impacted compensation practices in all of the following ways EXCEPT:

Salary compression is viewed as a/an:

A tipped employee may receive less than minimum wage if they earn over $30 in tips during the month.

________ or ________ a salary survey are two methods to gather wage information to determine ________ competitiveness.

Job ranking as well as the point method are used in the factor comparison approach to job evaluation.

Larger, long term organizations generally use simple pay structures due to the number of positions and pay grades that it would have to keep track of.

Which of the following would cause an organization to increase their starting rate for a position and thereby create wage compression for current employees?

In order to be considered a benchmark job, the job needs to be all of the following EXCEPT:

If an individual's job is classified as non-exempt then they are not paid overtime for any hours worked over 40 in one week.

Under the FLSA all of the following pieces of information must be recorded and maintained EXCEPT:

Grouping jobs based on similar tasks, duties, responsibilities and qualifications is known as:

The jobs of warehouse technician, supply coordinator, and forklift operator were ranked based on the physical requirements of each position. This would be an example of:

A store manager, a marketing coordinator, and accounting supervisor positions all require a Bachelor's degree and at least 3 years of experience in the respective fields. Although very different in specific job duties these positions could be:

Rather than referring to the monetary and nonmonetary things an employee receives as compensation the term ________ is used.

Providing a fair wage to a person so that basic living needs can be met is known as:

Ensuring that employees understand the compensation program at their organization and know they are being treated fairly is important in order to demonstrate interactional justice.

When administering a compensation program:

As long as human resources representatives are available to answer compensation questions and explain how the organization's compensation system works it is unnecessary for managers to understand the details of the system.

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

or a salary survey are two methods to gather wage information to determine competitiveness.