Deck 16: Challenges Facing Compensation Professionals

Question 1

________ is a situation in which a worker is forced to work part-time due to economic situations although s/he is willing to work full-time.

Answer 1

Underemployment

Question 2

________ measures the purchasing power of a dollar.

Answer 2

Real hourly compensation

Question 3

During when did the U.S.economy experienced the longest recession after World War II?

A) between February 2005 and July 2008
B) between December 2008 and January 2010
C) between April 2007 and December 2009
D) between December 2007 and June 2009

Answer 3

D

Question 4

What was the estimated number of underemployed workers in the United States during October-November 2007?

A) slightly more than 7.2 million
B) around 6 million
C) slightly more than 4.2 million
D) slightly less than 3 million

Question 5

Jane holds a bachelor's degree in sociology.She works as a part-time taxi driver.This situation is an example of which of the following?

A) malemployment
B) overstaffing
C) discrimination
D) unemployment

Question 6

________ refers to a general slowdown in economic activity.

Question 7

Which one of the following is NOT true about labor participation rate?

A) Labor participation rate for younger workers is expected to decline.
B) Labor participation rate for older workers is expected to rise.
C) Labor participation rate for women is expected to increase slightly.
D) Labor participation rate for men is expected to increase slightly.

Question 8

The goal of health care reform is to reduce the number of uninsured U.S.residents by how much in 2006?

A) 25 million
B) 32 million
C) 46 million
D) 53 million

Question 9

How did General Motors and Chrysler respond to lower consumer demand during Great Recession?

A) by cutting production levels
B) by introducing new models
C) by advertising more aggressively
D) by merging with other companies

Question 10

Which of the following is NOT a typical benefit preferred by older workers?

A) insurance with prescription drug benefits
B) generous sick-leave allowances
C) flexible work schedules
D) disability insurance

Question 11

What is the mean hourly wages for all underemployed workers?

A) $11.20
B) $12.80
C) $13.60
D) $14.30

Question 12

Which one of the developing Asian countries has the highest average pay rate?

A) Vietnam
B) China
C) Indonesia
D) Bangladesh

Question 13

Which one of the following is NOT one of the direct or indirect reasons of rising wages in China?

A) Chinese policy makers' support of increased wages
B) one-child policy
C) labor shortages
D) increasing cost of exports

Question 14

________ is a situation in which a worker possesses more qualifications,skill,and education than is required by his/her existing job.

Question 15

Which of the following is NOT true about the changes brought by PPACA?

A) The new legislation will require most employers to provide health care insurance to employees.
B) The lifetime benefits cap will be eliminated.
C) Waiting periods before employees may receive health care coverage will be limited with a maximum of 70 days.
D) The fines will be higher for employers that offer unaffordable health insurance.

Question 16

Which one of the following is NOT one of the long-term implications of underemployment?

A) Underemployment may slow down the economic recovery from recession.
B) Underemployment will likely lead to higher spending by companies.
C) Underemployment will most likely lead to a reduced consumption of goods and services.
D) Underemployment will probably result in reduced business production.

Question 17

The gap between productivity and real hourly compensation is the highest between the periods of

A) 1947-1973
B) 1979-1990
C) 1990-2000
D) 2000-2009

Question 18

According to Federal Reserve Bank,what percentage of industries have cut back production since the beginning of Great Recession?

A) 82%
B) 86%
C) 90%
D) 75%

Question 19

Which of the following is a typical benefit preferred by employees with children (male or female,coupled or uncoupled)?

A) life insurance
B) insurance with prescription drug benefits
C) generous vacation allowances
D) physical fitness programs

Question 20

Tim owns a fruit distribution company and hires around 100 employees.Before PPACA became a law,he did not provide health insurance coverage for the workers.After March 2010,he started to provide the coverage.However,from then on,the costs of his company have been increasing exponentially.Which of the following cannot be one of the ways to limit the rising costs of offering health care coverage?

A) lowering wages to offset the costs of health insurance
B) decreasing the size of his workforce
C) limiting the waiting periods to receive health care coverage to 90 days (for new workers)
D) imposing lifetime benefit caps at $1 million

Question 21

Briefly discuss the uncertainties brought by health care reform and changing workforce demographics.

Question 22

List the four challenges for compensation professionals.Among these,describe the challenges brought by wage issues in China.

Question 23

________ is the face value of a dollar.