Exam 9: Managing Compensation

The employment standards acts set minimum requirements with respect to wages, hours of work, and overtime.

An advantage of competence-based pay from the employee's perspective is that there is no limit to what they can earn by learning new skills.

Job evaluation helps to address issues dealing with which of the following?

Rewarding an employee's past performance is a goal of strategic compensation policy.

Vidya works at Paymore Shoes and is paid for time she works in the store. How would you classify Vidya?

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

The Hay profile method is useful for evaluating jobs of all types and levels.

What should employers do if they wish to encourage employees to accept a promotion to a job in a higher grade?

What type of equity do wage and salary surveys permit an organization to maintain?

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

The jobs that are included in wage and salary surveys are referred to as "key jobs."

Wages paid above the range maximum are called blue square rates.

Wage survey data can be obtained from government sources, trade associations, or professional groups, or organizations can conduct their own surveys.

Which of the following is NOT a common goal of compensation policy?

Ontario Hydro is seeking a top-level engineer to help with its operations. What is the relevant labour market to be surveyed?

To provide compensation estimates and ranges for jobs in an organization, all jobs should be surveyed.

What is the measure of the average change in prices over time in a fixed "market basket" of goods and services?

Scenario 9.2 Calendar "R" Us Ltd. is a small firm that manufactures yearly calendars with a specific focus on middle and high schools in Alberta. They started operations back in 2006 with just 12 employees, two machines, and a small warehouse that served as an office and production and storage facilities. Today, Calendar "R" Us has roughly 60 employees and supplies its calendars to most middle and high schools in Alberta. When employees join they are paid based on their relationship with the owners. Given the rapid growth in its staff complement, and the arbitrary way in which it normally compensates employees, payroll has proven to be quite a challenge for the company as management looks to expand into other provinces. -Refer to Scenario 9.2. Calendar "R" Us jobs range from management to administrative, to clerical to production to packing to delivering. Which of the following would be key to evaluating the worth of each job category?

In geography, the water catchment area or watershed refers to the area that channels or supplies a specific area with its water. Catchment areas divide drainage basins. In wage surveys, what is this catchment area similar to?

Which of the following clauses are found in some labour agreements that periodically adjust compensation rates to reflect increases in cost of living?