Question 1

The term merit pay can apply to the incentive raises given to anyone-office or factory, management or non management.

Accepted Answer

A) True 
 B)False

Question 2

Compensation plans for salespeople have typically relied heavily on incentives in the form of sales commissions.

Accepted Answer

A) True 
 B)False

Question 3

Amy received $2000 from her employer last week in order to recognize the extra hours, beyond normal work hours, that she had worked in the past month.Amy's payment was a(n)

Accepted Answer

A) informal incentive. 
B) variable pay plan. 
C) group incentive program. 
D) retirement income plan. 
E) profit-sharing plan. 
A) informal incentive. 
B) variable pay plan. 
C) group incentive program. 
D) retirement income plan. 
E) profit-sharing plan.

Question 4

Amy received a salary increase based on her individual performance over the past year.Amy received which of the following types of compensation?

Accepted Answer

A) individual increases 
B) individual incentives 
C) special awards 
D) individual bonuses 
E) merit pay 
A) individual increases 
B) individual incentives 
C) special awards 
D) individual bonuses 
E) merit pay

Question 5

The benefits of a gainsharing plan

Accepted Answer

A) usually take many years to fully realize. 
B) accrue mostly to senior managers and executives. 
C) are generally lower in terms of overall payout than those of an impro-share plan. 
D) are generally realized in the early years. 
E) are extremely difficult to calculate. 
A) usually take many years to fully realize. 
B) accrue mostly to senior managers and executives. 
C) are generally lower in terms of overall payout than those of an impro-share plan. 
D) are generally realized in the early years. 
E) are extremely difficult to calculate.

Question 6

Recent research indicates that employees favour recognition from their manager by a margin of 2 to 1 over recognition form other sources.

Accepted Answer

A) True 
 B)False

Question 7

Compensation plans for salespeople have typically relied heavily on incentives in the form of

Accepted Answer

A) profit sharing. 
B) stock appreciation rights. 
C) gainsharing. 
D) sales commissions. 
E) stock options. 
A) profit sharing. 
B) stock appreciation rights. 
C) gainsharing. 
D) sales commissions. 
E) stock options.

Question 8

Merit pay has both advocates and detractors and is the subject of much debate.

Accepted Answer

A) True 
 B)False

Question 9

Non-salary items that professional employees need in order to do their best work include all of the following except

Accepted Answer

A) support for professional journal publications. 
B) bonuses. 
C) up-to-date facilities. 
D) supportive management. 
E) modern equipment. 
A) support for professional journal publications. 
B) bonuses. 
C) up-to-date facilities. 
D) supportive management. 
E) modern equipment.

Question 10

For short term incentives, the term fund size means

Accepted Answer

A) the amount each employee will receive. 
B) the total amount of bonus money that will be available to be paid out. 
C) the company's net income. 
D) the incentive bonus formula. 
E) average capital invested in the business. 
A) the amount each employee will receive. 
B) the total amount of bonus money that will be available to be paid out. 
C) the company's net income. 
D) the incentive bonus formula. 
E) average capital invested in the business.

Question 11

Employees whose work involves the application of learned knowledge to the solution of the employer's problems are referred to as

Accepted Answer

A) professional employees. 
B) executives. 
C) hourly employees. 
D) managerial employees. 
E) supervisory employees. 
A) professional employees. 
B) executives. 
C) hourly employees. 
D) managerial employees. 
E) supervisory employees.

Question 12

Compensation experts suggest defining the strategic context for the executive compensation plan before creating the package itself, by

Accepted Answer

A) checking for tax effectiveness. 
B) defining external issues that face the company and its business objectives. 
C) installing a process for review and evaluation whenever a major business change occurs. 
D) checking for compliance with all legal requirements. 
E) doing all of the above. 
A) checking for tax effectiveness. 
B) defining external issues that face the company and its business objectives. 
C) installing a process for review and evaluation whenever a major business change occurs. 
D) checking for compliance with all legal requirements. 
E) doing all of the above.

Question 13

The following are all types of incentive plans except

Accepted Answer

A) straight salary and commission. 
B) profit-sharing plans. 
C) individual incentive programs. 
D) spot bonuses. 
E) group incentive programs. 
A) straight salary and commission. 
B) profit-sharing plans. 
C) individual incentive programs. 
D) spot bonuses. 
E) group incentive programs.

Question 14

Aziz is the human resources professional at a consulting engineering company.He has been asked by the executive team to suggest incentives that would most likely motivate the senior engineers who have worked in their professional capacity for at least 20 years and are generally in their early 50's.Which of the following should Aziz suggest?

Accepted Answer

A) adventure travel 
B) on-site day care 
C) a recognition program and adventure travel 
D) luxury cruises 
E) paid time off to volunteer for charitable organizations 
A) adventure travel 
B) on-site day care 
C) a recognition program and adventure travel 
D) luxury cruises 
E) paid time off to volunteer for charitable organizations

Question 15

All of the following are long-term incentive plans extended to employees except

Accepted Answer

A) restricted stock plans. 
B) phantom stock plans. 
C) stock options. 
D) retained earnings plans. 
E) stock appreciation rights. 
A) restricted stock plans. 
B) phantom stock plans. 
C) stock options. 
D) retained earnings plans. 
E) stock appreciation rights.

Question 16

In a true individual incentive bonus plan, each individual person gets a bonus based on

Accepted Answer

A) the same amount from year to year. 
B) individual effort and performance. 
C) group effort and performance. 
D) department productivity. 
E) no hard-and-fast rules. 
A) the same amount from year to year. 
B) individual effort and performance. 
C) group effort and performance. 
D) department productivity. 
E) no hard-and-fast rules.

Question 17

The following are all disadvantages of a piecework incentive plan except that

Accepted Answer

A) in workers' minds, production standards become tied inseparably to the amount of money earned. 
B) piece-rate plans appear equitable in principle. 
C) new job evaluations produce a new wage rate and thus piece rates need to be revised. 
D) employers arbitrarily increase the standard because of workers earning "excessive"wages. 
E) workers resist attempts to raise production standards. 
A) in workers' minds, production standards become tied inseparably to the amount of money earned. 
B) piece-rate plans appear equitable in principle. 
C) new job evaluations produce a new wage rate and thus piece rates need to be revised. 
D) employers arbitrarily increase the standard because of workers earning "excessive"wages. 
E) workers resist attempts to raise production standards.

Question 18

Amir is the director of human resources at a management consulting firm.He has been asked to implement an organization-wide incentive plan aimed at increasing employee commitment to company goals.Identify and discuss two different organization-wide incentive plans Amir should consider.

Accepted Answer

Up to five points each for des

Question 19

A disadvantage to the piecework incentive plan is that the incentive value can be powerful, since rewards are directly tied to a percentage of performance that is above standard.

Accepted Answer

A) True 
 B)False

Question 20

A term plan that refers to any plan that ties pay to productivity or to some other measure of the firm's profitability is called

Accepted Answer

A) a profit-sharing plan. 
B) a quality circle. 
C) a fringe benefit. 
D) variable pay. 
E) a supplemental pay benefit. 
A) a profit-sharing plan. 
B) a quality circle. 
C) a fringe benefit. 
D) variable pay. 
E) a supplemental pay benefit.

The term merit pay can apply to the incentive raises given to anyone-office or factory, management or non management.

Compensation plans for salespeople have typically relied heavily on incentives in the form of sales commissions.

Amy received $2000 from her employer last week in order to recognize the extra hours, beyond normal work hours, that she had worked in the past month.Amy's payment was a(n)

Amy received a salary increase based on her individual performance over the past year.Amy received which of the following types of compensation?

The benefits of a gainsharing plan

Recent research indicates that employees favour recognition from their manager by a margin of 2 to 1 over recognition form other sources.

Compensation plans for salespeople have typically relied heavily on incentives in the form of

Merit pay has both advocates and detractors and is the subject of much debate.

Non-salary items that professional employees need in order to do their best work include all of the following except

For short term incentives, the term fund size means

Employees whose work involves the application of learned knowledge to the solution of the employer's problems are referred to as

Compensation experts suggest defining the strategic context for the executive compensation plan before creating the package itself, by

The following are all types of incentive plans except

All of the following are long-term incentive plans extended to employees except

In a true individual incentive bonus plan, each individual person gets a bonus based on

The following are all disadvantages of a piecework incentive plan except that

Amir is the director of human resources at a management consulting firm.He has been asked to implement an organization-wide incentive plan aimed at increasing employee commitment to company goals.Identify and discuss two different organization-wide incentive plans Amir should consider.

A disadvantage to the piecework incentive plan is that the incentive value can be powerful, since rewards are directly tied to a percentage of performance that is above standard.

A term plan that refers to any plan that ties pay to productivity or to some other measure of the firm's profitability is called

The Strategic Role of Human Resources Management

The Changing Legal Emphasis: Compliance and Impact on Canadian Workplaces

Human Resources Management and Technology

Designing and Analyzing Jobs

Human Resources Planning

Recruitment

Selection

Orientation and Training

Career Development

Performance Management

Strategic Pay Plans

Employee Benefits and Services

Occupational Health and Safety

Managing Employee Separations: Foundations of Employee Engagement, Communication, and Turnover Management

Labour Relations

Managing Human Resources in a Global Business

Filters

Exam 12: Pay-for-Performance and Financial Incentives

The term merit pay can apply to the incentive raises given to anyone-office or factory, management or non management.

Compensation plans for salespeople have typically relied heavily on incentives in the form of sales commissions.

Amy received $2000 from her employer last week in order to recognize the extra hours, beyond normal work hours, that she had worked in the past month.Amy's payment was a(n)

Amy received a salary increase based on her individual performance over the past year.Amy received which of the following types of compensation?

The benefits of a gainsharing plan

Recent research indicates that employees favour recognition from their manager by a margin of 2 to 1 over recognition form other sources.

Compensation plans for salespeople have typically relied heavily on incentives in the form of

Merit pay has both advocates and detractors and is the subject of much debate.

Non-salary items that professional employees need in order to do their best work include all of the following except

For short term incentives, the term fund size means

Employees whose work involves the application of learned knowledge to the solution of the employer's problems are referred to as

Compensation experts suggest defining the strategic context for the executive compensation plan before creating the package itself, by

The following are all types of incentive plans except

All of the following are long-term incentive plans extended to employees except

In a true individual incentive bonus plan, each individual person gets a bonus based on

The following are all disadvantages of a piecework incentive plan except that

Amir is the director of human resources at a management consulting firm.He has been asked to implement an organization-wide incentive plan aimed at increasing employee commitment to company goals.Identify and discuss two different organization-wide incentive plans Amir should consider.

A disadvantage to the piecework incentive plan is that the incentive value can be powerful, since rewards are directly tied to a percentage of performance that is above standard.

A term plan that refers to any plan that ties pay to productivity or to some other measure of the firm's profitability is called

The Strategic Role of Human Resources Management

The Changing Legal Emphasis: Compliance and Impact on Canadian Workplaces

Human Resources Management and Technology

Designing and Analyzing Jobs

Human Resources Planning

Recruitment

Selection

Orientation and Training

Career Development

Performance Management

Strategic Pay Plans

Employee Benefits and Services

Occupational Health and Safety

Managing Employee Separations: Foundations of Employee Engagement, Communication, and Turnover Management

Labour Relations

Managing Human Resources in a Global Business

Filters