Exam 9: Managing Compensation

Broadbands are salary grades collapsed into fewer and wider salary bands.

According to the textbook, what is the predominant approach to employee compensation in Canada?

When an employer operates in more than one province, it has to apply only the employment requirements of one province of its choosing.

Wage-rate compression refers to the situation where employees perceive that there is too large a difference between their compensation and that of colleagues in higher-rated jobs.

Steps within a rate range allow pay increases based on merit or seniority or a combination of the two.

Managers will group similar jobs into a pay grade in order to help with the setting of wages for all jobs.

Internal factors that influence wage rates include the worth of a job, and the employer's ability to pay.

Employees who earn pay for hourly work are referred to as salaried employees.

Equal pay for work of equal value involves providing equal pay to women when they perform work historically performed by men.

Briefly explain expectancy theory as it relates to organizational rewards.

Which of the following is a firm's internal factor that can influence the rates at which employees are paid?

Job evaluation is a non-systematic, qualitative process of determining the relative worth of jobs in order to establish a comparison with the prevailing market and regional value of a job within a job family.

Which job category is considered nonexempt?

Executives, administrators, and professional employees are exempt from overtime payments identified in employment standards acts.

Expectancy theory predicts that people expect to be paid as much or more than individuals in a similar job class.

According to the textbook, which job evaluation method is considered the most valid?

Real wages represent the difference between wage increases and cost-of-living increases.

How would you describe "an increase in real wages"?

Which type of legislation is concerned with minimum wage rates and overtime payments?

Pay equity is covered only under federal jurisdiction.