Question 1

Pay equity is achieved when employees' compensation is equal to the value of the work they perform.

Accepted Answer

A) True 
 B)False

Question 2

Jenna and Blake are both line workers at LennoCorp. This week, they each worked 40 hours. Jenna produced 83 units this week, and Blake produced 71 units. Jenna received higher pay for the week than Blake did. Jenna and Blake are compensated based on

Accepted Answer

A) hourly work. 
B) piecework. 
C) skilled labor. 
D) competence. 
A) hourly work. 
B) piecework. 
C) skilled labor. 
D) competence.

Question 3

Rewarding an employee's past performance is not a goal of a strategic compensation policy.

Accepted Answer

A) True 
 B)False

Question 4

LennoCorp has spent a lot of time collecting wage and salary survey data from the relevant job markets for each of its positions. They are most likely trying to maintain __________ equity.

Accepted Answer

A) internal 
B) external 
C) individual 
D) union 
A) internal 
B) external 
C) individual 
D) union

Question 5

__________ is a pay system in which employees are paid according to the number of units they produce.

Accepted Answer

A) Piecework 
B) Hourly work 
C) Non-exempt work 
D) Exempt work 
A) Piecework 
B) Hourly work 
C) Non-exempt work 
D) Exempt work

Question 6

Elias works at Lenno Landscaping as a mower. He is paid a set rate for each lawn that he mows. Elias receives piecework compensation.

Accepted Answer

A) True 
 B)False

Question 7

In conducting a wage and salary survey for office personnel, the relevant labor market to be surveyed is most likely

Accepted Answer

A) regional. 
B) local. 
C) national. 
D) international 
A) regional. 
B) local. 
C) national. 
D) international

Question 8

The consumer price index tracks the change in price over time of a "market basket" of goods and services.

Accepted Answer

A) True 
 B)False

Question 9

__________ may create problems for managers who wish to maintain pay secrecy among employees.

Accepted Answer

A) NASDAQ information 
B) Internet salary survey data 
C) FLSA requirements 
D) Davis-Bacon standards 
A) NASDAQ information 
B) Internet salary survey data 
C) FLSA requirements 
D) Davis-Bacon standards

Question 10

The fact that people make comparisons to others is central to

Accepted Answer

A) expectancy theory. 
B) the need for pay secrecy. 
C) pay-for-performance programs. 
D) equity theory. 
A) expectancy theory. 
B) the need for pay secrecy. 
C) pay-for-performance programs. 
D) equity theory.

Question 11

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. How can LennoCorp ascertain the truth of this anecdotal evidence?

Accepted Answer

A) Perform job evaluations 
B) Conduct wage and salary surveys 
C) Initiate escalator clauses 
D) Investigate the CPI 
A) Perform job evaluations 
B) Conduct wage and salary surveys 
C) Initiate escalator clauses 
D) Investigate the CPI

Question 12

Josef is a nonexempt employee. His regular pay rate is $20 an hour. It was very busy at work this week, and he worked 46 hours. He earned $180 over his regular pay, so that his gross pay for the week will be $980.

Accepted Answer

A) True 
 B)False

Question 13

Under the Fair Labor Standards Act, exempt employees

Accepted Answer

A) are required to be paid at the rate of one and a half times their regular pay rate for hours worked in excess of 40 hours in a week. 
B) must be paid at the rate of one and a half times their regular hourly wage for time worked in excess of eight hours in a day. 
C) are those employees not covered by the overtime provisions of the Act. 
D) include most hourly personnel employed in interstate commerce. 
A) are required to be paid at the rate of one and a half times their regular pay rate for hours worked in excess of 40 hours in a week. 
B) must be paid at the rate of one and a half times their regular hourly wage for time worked in excess of eight hours in a day. 
C) are those employees not covered by the overtime provisions of the Act. 
D) include most hourly personnel employed in interstate commerce.

Question 14

Employees at LennoCorp often sign up for classes or additional training because such activities can lead to pay raises, even when their actual job titles or positions do not change. This is an application of a

Accepted Answer

A) competence-based pay plan. 
B) performance-based pay plan. 
C) merit-based pay plan. 
D) seniority-based pay plan. 
A) competence-based pay plan. 
B) performance-based pay plan. 
C) merit-based pay plan. 
D) seniority-based pay plan.

Question 15

The exempt or nonexempt status of employees is determined by

Accepted Answer

A) the National Labor Relations Board. 
B) the Secretary of Labor. 
C) the Office of Programs and Budgets. 
D) the U.S.Department of Labor. 
A) the National Labor Relations Board. 
B) the Secretary of Labor. 
C) the Office of Programs and Budgets. 
D) the U.S.Department of Labor.

Question 16

Pay levels are limited in part by profitability of the firm and productivity of employees.

Accepted Answer

A) True 
 B)False

Question 17

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. In this situation, the employees are seeking

Accepted Answer

A) COLA. 
B) escalator clauses. 
C) external equity. 
D) individual equity. 
A) COLA. 
B) escalator clauses. 
C) external equity. 
D) individual equity.

Question 18

Which of the following compensation options would not qualify under the term pay-for-performance?

Accepted Answer

A) Seniority-based pay 
B) Group incentive 
C) Pay banding 
D) Gainsharing plans 
A) Seniority-based pay 
B) Group incentive 
C) Pay banding 
D) Gainsharing plans

Question 19

Indirect compensation includes healthcare benefits and commissions.

Accepted Answer

A) True 
 B)False

Question 20

In order for a wage increase to actually improve the recipient's purchasing power and standard of living, it must

Accepted Answer

A) be larger than the increase in the CPI. 
B) be regulated through an escalator clause. 
C) be a cost of living adjustment. 
D) be based on merit. 
A) be larger than the increase in the CPI. 
B) be regulated through an escalator clause. 
C) be a cost of living adjustment. 
D) be based on merit.

Pay equity is achieved when employees' compensation is equal to the value of the work they perform.

Jenna and Blake are both line workers at LennoCorp. This week, they each worked 40 hours. Jenna produced 83 units this week, and Blake produced 71 units. Jenna received higher pay for the week than Blake did. Jenna and Blake are compensated based on

Rewarding an employee's past performance is not a goal of a strategic compensation policy.

LennoCorp has spent a lot of time collecting wage and salary survey data from the relevant job markets for each of its positions. They are most likely trying to maintain __________ equity.

__________ is a pay system in which employees are paid according to the number of units they produce.

Elias works at Lenno Landscaping as a mower. He is paid a set rate for each lawn that he mows. Elias receives piecework compensation.

In conducting a wage and salary survey for office personnel, the relevant labor market to be surveyed is most likely

The consumer price index tracks the change in price over time of a "market basket" of goods and services.

__________ may create problems for managers who wish to maintain pay secrecy among employees.

The fact that people make comparisons to others is central to

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. How can LennoCorp ascertain the truth of this anecdotal evidence?

Josef is a nonexempt employee. His regular pay rate is $20 an hour. It was very busy at work this week, and he worked 46 hours. He earned $180 over his regular pay, so that his gross pay for the week will be $980.

Under the Fair Labor Standards Act, exempt employees

Employees at LennoCorp often sign up for classes or additional training because such activities can lead to pay raises, even when their actual job titles or positions do not change. This is an application of a

The exempt or nonexempt status of employees is determined by

Pay levels are limited in part by profitability of the firm and productivity of employees.

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. In this situation, the employees are seeking

Which of the following compensation options would not qualify under the term pay-for-performance?

Indirect compensation includes healthcare benefits and commissions.

In order for a wage increase to actually improve the recipient's purchasing power and standard of living, it must

The Rewards and Challenges of Human Resources Management

Strategy and Human Resources Planning

Equal Employment Opportunity and Human Resources Management

Job Analysis and Job Design

Expanding the Talent Pool: Recruitment and Careers

Employee Selection

Training and Development

Performance Management

Pay-For-Performance: Incentive Rewards

Employee Benefits

Promoting Safety and Health

Employees Rights and Discipline

The Dynamics of Labor Relations

International Human Resources Management

Implementing HR Strategy: High-Performance Work Systems

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Exam 9: Managing Compensation

Pay equity is achieved when employees' compensation is equal to the value of the work they perform.

Jenna and Blake are both line workers at LennoCorp. This week, they each worked 40 hours. Jenna produced 83 units this week, and Blake produced 71 units. Jenna received higher pay for the week than Blake did. Jenna and Blake are compensated based on

Rewarding an employee's past performance is not a goal of a strategic compensation policy.

LennoCorp has spent a lot of time collecting wage and salary survey data from the relevant job markets for each of its positions. They are most likely trying to maintain __________ equity.

__________ is a pay system in which employees are paid according to the number of units they produce.

Elias works at Lenno Landscaping as a mower. He is paid a set rate for each lawn that he mows. Elias receives piecework compensation.

In conducting a wage and salary survey for office personnel, the relevant labor market to be surveyed is most likely

The consumer price index tracks the change in price over time of a "market basket" of goods and services.

__________ may create problems for managers who wish to maintain pay secrecy among employees.

The fact that people make comparisons to others is central to

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. How can LennoCorp ascertain the truth of this anecdotal evidence?

Josef is a nonexempt employee. His regular pay rate is $20 an hour. It was very busy at work this week, and he worked 46 hours. He earned $180 over his regular pay, so that his gross pay for the week will be $980.

Under the Fair Labor Standards Act, exempt employees

Employees at LennoCorp often sign up for classes or additional training because such activities can lead to pay raises, even when their actual job titles or positions do not change. This is an application of a

The exempt or nonexempt status of employees is determined by

Pay levels are limited in part by profitability of the firm and productivity of employees.

A number of employees at LennoCorp have approached their supervisors to request raises. They have said that colleagues who work for other companies in similar positions receive a higher wage. In this situation, the employees are seeking

Which of the following compensation options would not qualify under the term pay-for-performance?

Indirect compensation includes healthcare benefits and commissions.

In order for a wage increase to actually improve the recipient's purchasing power and standard of living, it must

The Rewards and Challenges of Human Resources Management

Strategy and Human Resources Planning

Equal Employment Opportunity and Human Resources Management

Job Analysis and Job Design

Expanding the Talent Pool: Recruitment and Careers

Employee Selection

Training and Development

Performance Management

Pay-For-Performance: Incentive Rewards

Employee Benefits

Promoting Safety and Health

Employees Rights and Discipline

The Dynamics of Labor Relations

International Human Resources Management

Implementing HR Strategy: High-Performance Work Systems

Filters