Q&A Hero

Q: Jason is an information systems technician in a town in North Carolina with a population of 100,000. He earns $35,000/year. He recently found out that a nearby town with a similar population pays people in the same position $40,000/year. Jason is concerned with the ________ form of equity. A) distributive B) procedural C) internal D) external

Q: Homelife, a national chain of high-end furniture stores, employs nearly 800 workers. In the past few years, the company's market share has dropped significantly, and employee turnover has increased. Upper management is considering the implementation of a new compensation policy in its efforts to turn the company around. Historically, the company has paid all employees similarly with some variation for seniority but no distinction between high and low performers. All of the following questions are relevant to Homelife's decision to develop an aligned reward strategy EXCEPT ________. A) What compensation programs should Homelife use to reinforce necessary employee behaviors? B) How well does Homelife's current compensation program match the company's strategic aims? C) What were the results of the most recent Homelife customer review ratings? D) What compensation programs should Homelife use to reinforce desired employee behaviors?

Q: Which of the following terms refers to a compensation plan that advances a firm's strategic goals? A) workers' compensation package B) aligned reward strategy C) performance pay plan D) strategic management

Q: Unions typically negotiate all of the following issues EXCEPT ________. A) wage rates B) income security C) time off with pay D) unpaid medical leave

Q: Which of the following has historically been the primary issue in collective bargaining? A) safety B) wage rates C) income security D) health care benefits

Q: The ________ gave employees the right to organize, bargain collectively, and engage in concerted activities for the purpose of collective bargaining. A) Fair Labor Standards Act B) Civil Rights Act C) Employer Retirement Income Security Act D) National Labor Relations Act

Q: According to the Family and Medical Leave Act, eligible employees can take up to ________ weeks of unpaid, job-protected leave for the birth of a child or for the care of a child, spouse, or parent. A) two B) four C) six D) twelve

Q: The ________ states that employees of one sex may not be paid wages at a rate lower than that paid to employees of the opposite sex for doing roughly equivalent work. A) American Disabilities Act B) Civil Rights Act C) Employer Retirement Income Security Act D) Equal Pay Act

Q: Which of the following is true for employers who use independent contractors? A) Payroll taxes are paid by the employer. B) Federal income taxes are charged at a reduced rate. C) Social Security taxes are higher than for regular employees. D) Fair Labor Standards Act overtime requirements do not apply.

Q: Jorge worked 6 hours of overtime this week but has decided to take time off instead of overtime pay. How many hours will Jorge receive in time off from work? A) 3 hours B) 6 hours C) 9 hours D) 12 hours

Q: Jill works as a cashier at a grocery store. She earns $10 an hour (or $400 for a 40-hour week). Last week, she worked 46 hours. What is the minimum amount that Jill earned last week? A) $430 B) $460 C) $490 D) $520

Q: According to the Fair Labor Standards Act, if a worker covered by the act works more than 40 hours, he or she will receive overtime pay at a rate of ________ of normal pay for any hours worked over 40 in a workweek. A) 50% B) 100% C) 125% D) 150%

Q: Which law makes it illegal to discriminate against any individual with respect to compensation because of race, color, religion, sex, or national origin? A) Employer Retirement Income Security Act B) Title VII of the Civil Rights Act C) Fair Labor Standards Act D) Davis-Bacon Act

Q: All of the following issues are addressed by the Fair Labor Standards Act EXCEPT ________. A) termination B) overtime pay C) record-keeping D) minimum wage

Q: Which compensation-related law contains provisions for minimum wage, maximum hours, overtime pay, equal pay, and child labor? A) Davis-Bacon Act B) Fair Wages Act C) Civil Rights Act D) Fair Labor Standards Act

Q: Which of the following terms refers to pay in the form of financial benefits, such as insurance? A) merit raises B) out-of-pocket expenses C) indirect financial payments D) direct financial payments

Q: Direct financial payments include all of the following EXCEPT ________. A) commissions B) insurance C) salaries D) incentives

Q: ________ refers to all forms of pay or rewards going to employees and arising from their employment. A) Employee reimbursement B) Employee compensation C) Salary D) Benefits

Q: A total rewards package encompasses not only compensation and benefits but also personal and professional growth opportunities.

Q: Discuss the fundamental components and uses of competency-based pay systems.

Q: What is a total rewards pay program? What components might be included in a total rewards plan?

Q: What is broadbanding? Why and how do firms use broadbanding?

Q: During difficult economic times, firms are more likely to base pay on competencies rather than job evaluations.

Q: Mark's employer uses a competency-based pay system, so Mark is paid for his skills and knowledge rather than his job responsibilities.

Q: Broadbanding refers to the requirement to pay men and women equal wages for jobs of comparable value to the employer.

Q: Competencies are demonstrable characteristics of a person including knowledge, skills, and behaviors.

Q: The primary advantage of broadbanding is that it provides greater flexibility with employee assignments.

Q: Which of the following makes executives personally liable for corporate financial oversight lapses? A) Sarbanes-Oxley Act B) McCain-Feingold Act C) Davis-Bacon Act D) Walsh-Healey Act

Q: According to research, U.S. women earn approximately ________ as much as men. A) 50% B) 65% C) 80% D) 95%

Q: Which job evaluation method is associated with most comparable worth court cases? A) market-based approach B) job classification C) ranking method D) point method

Q: County of Washington v. Gunther was an important case regarding ________. A) collective bargaining B) comparable worth C) equal opportunity D) affirmative action

Q: What is the primary disadvantage of traditional grade pay plans? A) inflexibility B) reliability C) validity D) subjectivity

Q: High-performance work systems typically use competency-based pay because employees ________. A) participate in training and development workshops B) receive frequent performance appraisals C) rotate among different jobs D) need technical skills

Q: ________ means collapsing salary grades and ranges into just a few wide levels or bands, each of which contains a relatively wide range of jobs and salary levels. A) Comparable worth B) Strategic compensation C) Broadbanding D) Job grading

Q: Homelife, a national chain of high-end furniture stores, employs nearly 800 workers. In the past few years, the company's market share has dropped significantly, and employee turnover has increased. Upper management is considering the implementation of a new compensation policy in its efforts to turn the company around. Historically, the company has paid all employees similarly with some variation for seniority but no distinction between high and low performers. Which of the following, if true, supports the decision by Homelife executives to implement competency-based pay? A) In an effort to save money, Homelife will be reducing the employee training budget over the next 3 years. B) Most Homelife managers are men, but executives hope to increase the number of minority women working for the company. C) Homelife sales associates currently receive base salaries in addition to sales commissions, but they have monthly sales quotas. D) Homelife plans to organize employees into teams, provide regular training, and frequently assess workers' skills and knowledge.

Q: A company using competency-based pay compensates employees for all of the following EXCEPT ________. A) behaviors B) job title C) knowledge D) skills

Q: How is executive pay typically determined? Why are boards of directors tightening down on executive pay in recent years?

Q: The compensation for top executives at most firms consists of four components: short-term incentives, long-term incentives, executive benefits and perks, and base pay.

Q: The Sarbanes-Oxley Act of 2002 makes board members personally liable for violating their fiduciary responsibilities to their shareholders.

Q: What method is used by most employers to price professional jobs? A) ranking method B) point method C) market-pricing approach D) job classification method

Q: Which of the following most likely indicates than an employee is a professional under the law? A) holds a college degree B) works overtime hours C) manages other workers D) earns at least $245 per week

Q: Tighter restrictions on what firms pay top executives have been triggered by ________. A) job analysis B) ranking methods C) publicized demotions D) shareholder activism

Q: According to research, what is the LEAST likely factor that determines CEO pay? A) ability to pay B) job complexity C) job evaluation D) human capital

Q: Which of the following is most likely a short-term incentive given to top executives? A) pension plans B) stock bonuses C) life insurance D) stock options

Q: Why would a firm most likely offer executive stock options in a compensation package? A) to offer the executive long-term retirement security B) to provide the executive with guaranteed bonuses C) to encourage the executive to increase the firm's value D) to prevent the executive from negotiating with other firms

Q: Discuss the ways an employer can effectively manage dismissals.

Q: Exit interviews are scheduled when an employee has been dismissed from the firm for misconduct.

Q: According to the Fair Labor Standards Act, managers can be held personally liable for their supervisory actions in some situations.

Q: Jeff works diligently at his job as a data analyst and is well-liked among co-workers and managers. However, Jeff is unable to perform tasks satisfactorily. Jeff's dismissal from the firm would most likely be on the grounds of unsatisfactory performance.

Q: An employee caught stealing from a cash register would most likely be dismissed on grounds of unsatisfactory performance.

Q: The Worker Adjustment and Retraining Notification Act requires employers of 100 or more employees to give 60 days' notice before closing a facility.

Q: Outplacement counseling is a systematic process by which a former employee is trained and counseled in the techniques of securing a new job appropriate to his or her needs and talents.

Q: In a constructive discharge claim, plaintiffs argue that they quit because their employer made the work situation intolerable.

Q: Wrongful discharge occurs when an employee's dismissal does not comply with the law or with the contractual agreement stated or implied by the firm via its employment application forms, employee manuals, or other promises.

Q: A signed employment application that contains a statement regarding the employer's right to terminate at will serves as a procedural step in avoiding wrongful discharge suits.

Q: Employers today are finding that they do not have the blanket right to fire employees.

Q: During a merger and acquisition, it is especially important for managers to be sensitive to employees who are dismissed so that ________. A) lawsuits stemming from ADA and OSHA violations can be avoided B) remaining employees will remain productive and committed C) exit interviews will reveal positive details about the firm D) bumped employees can continue being promoted

Q: The plant closing law requires that employers ________. A) provide employees with training for different jobs B) offer employees comparable jobs in other facilities C) provide severance pay for at least 3 months D) notify employees 60 days in advance of the plant closing

Q: Which of the following requires that employers of 100 or more employees give 60 days' notice before closing a facility or starting a layoff of 50 or more people? A) COBRA B) ERISA C) Worker Adjustment and Retraining Notification Act D) Electronic Communications Privacy Act

Q: Which of the following terms refers to permanently dismissing a relatively large proportion of employees in an attempt to improve productivity and competitiveness? A) downsizing B) offshoring C) outsourcing D) bumping

Q: Which of the following is conducted with employees who are leaving a firm for the purpose of eliciting information about what is right or wrong with the job and the firm? A) outsourcing interview B) termination interview C) screening interview D) exit interview

Q: Which of the following terms refers to a systematic process by which a terminated employee is trained and counseled in how to perform a self-appraisal and secure a new position? A) exit interview B) outplacement counseling C) job counseling fair D) discharge interview

Q: During which of the following is an employee informed of the fact that he or she has been dismissed? A) outplacement interview B) termination interview C) appraisal interview D) exit interview

Q: When an employee's dismissal does not comply with the law or with the contractual agreement stated or implied by the firm via its employment application forms, employee manuals, or other promises, ________ has occurred. A) mutiny B) insubordination C) wrongful discharge D) emotional hardship

Q: Which of the following terms refers to the willful disregard or disobedience of a supervisor's authority? A) insubordination B) infraction C) harassment D) mutiny

Q: Which of the following is NOT an example of employee insubordination? A) deliberately defying company rules B) repeatedly failing to perform tasks C) disregarding the chain of command D) publicly criticizing a supervisor

Q: Misconduct, one of the bases for dismissal, is defined as ________. A) the deliberate and willful violation of the employer's rules and may include stealing and insubordination B) an employee's inability to do the assigned work despite his or her diligence C) the persistent failure to perform assigned duties or to meet prescribed standards on the job D) an employee's inability to do the work assigned because the nature of the job has changed

Q: Which of the bases for dismissal is defined as the deliberate and willful violation of the employer's rules and may include stealing and insubordination? A) unsatisfactory performance B) whistle blowing C) misconduct D) disregard

Q: Which of the bases for dismissal is defined as the persistent failure to complete assigned duties or to meet prescribed standards on the job? A) misconduct B) unsatisfactory performance C) lack of qualifications for job D) changed requirements of job

Q: Dismissal based on unsatisfactory performance is most appropriate if an employee ________. A) shows an adverse attitude towards co-workers B) fails to accomplish tasks despite diligence C) acts in an insubordinate manner D) steals the employer's property

Q: Tracy is frequently absent from work and almost always late, so her manager has decided to fire her. Which of the following grounds for dismissal will her manager most likely use? A) misconduct B) insubordination C) unsatisfactory performance D) lack of qualifications for the job

Q: All of the following are reasonable bases for dismissal EXCEPT ________. A) unsatisfactory performance B) whistle blowing C) misconduct D) lack of job qualifications

Q: Under the public policy exception to the termination at will doctrine, courts have held that ________. A) discharge is wrongful when it is against an explicit, well-established law B) even in the absence of a written document, an implied contract existed based on representations in the employee handbook C) employers should not fire employees without good cause D) persistent failure to perform assigned duties or to meet prescribed standards on the job is reason for dismissal

Q: Which of the following exceptions is NOT responsible for eroding the strength of the "termination at will" doctrine? A) EEO laws B) public relations campaigns C) public policies D) common law exceptions

Q: Which of the following best defines "termination at will"? A) Employers can end business relationships with clients even if a contract exists. B) Employees can refuse to collaborate with specific co-workers for personal reasons. C) Customers can end relationships with service providers for any reason at any time. D) Either the employer or the employee can end the employment relationship at any time.

Q: Which of the following terms refers to the involuntary termination of an employee's employment with a firm? A) leave of absence B) insubordination C) sabbatical D) dismissal

Q: What are traditional and modern ways that organizations measure competence for the purpose of promotions? Discuss the advantages and disadvantages of each.

Q: Flexible work arrangements and part-time positions are offered by firms that seek to retain older workers.

Q: Promotions at most private firms are based on competence rather than seniority, but public sector job promotions emphasize seniority over competence.

Q: Promotions are always upward.