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80. There is reason to believe that pay secrecy can do all of the following EXCEPT:
a.
generate distrust in the compensation system.
b.
reduce employee motivation.
c.
inhibit organizational effectiveness.
d.
generate feelings of commitment.
81. Employees whose compensation is calculated on the basis of weekly, biweekly, or monthly periods are classified as:
a.
salaried employees.
b.
hourly employees.
c.
management employees.
d.
white-collar employees.
82. In ____, employees are paid according to the number of units they produce.
a.
hourly work
b.
piecework
c.
commission
d.
production work
83. Employees covered by the overtime provisions of the Fair Labor Standards Act are labeled:
a.
protected workers.
b.
nonexempt employees.
c.
salaried workers.
d.
exempt employees.
84. Under the Fair Labor Standards Act, exempt employees:
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.
85. The exempt or nonexempt status of employees is determined by:
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.
86. Which of the following is an internal factor that can influence the rates at which employees are paid?
a.
Labor market conditions
b.
Collective bargaining
c.
The employer's ability to pay
d.
Cost of living
87. Which of the following is an external factor that can influence the rates at which employees are paid?
a.
The worth of the job
b.
The employees' relative worth
c.
The employer's ability to pay
d.
Cost of living
88. Equity theory is also known as:
a.
procedural justice.
b.
distributive fairness.
c.
administrative justice.
d.
moral justice.
89. An employee's relative worth can be determined by:
a.
job analysis.
b.
labor market conditions.
c.
wage-rate surveys.
d.
an effective performance appraisal system.
90. Pay levels are limited in part by:
a.
the organization's profits and the productivity of employees.
b.
collective bargaining limitations.
c.
strategic compensation planning.
d.
the mobility of employee skills.
91. The measure of the average change in prices over time in a fixed "market basket" of goods and services is known as:
a.
cost-of-living allowance.
b.
cost-of-living adjustment.
c.
the consumer price index.
d.
the inflation index.
92. Clauses in labor agreements that provide for quarterly cost-of-living adjustments in wages, basing the adjustments on
changes in the consumer price index are known as:
a.
maintenance clauses.
b.
escalator clauses.
c.
roll-up clauses.
d.
guarantee clauses.
93. The most common cost-of-living adjustments are ____ per hour for each .3-point or .4-point change in the consumer
price index (CPI).
a.
1 cent
b.
2 cents
c.
3 cents
d.
4 cents
94. For real wages to increase, which of the following must be true?
a.
An employee's wage increase must be greater than the increase in the consumer price index (CPI).
b.
An employee must receive a lump-sum wage increase equal to the increase in the consumer price index
(CPI).
c.
An employee's wage must simply increase with out the influence of consumer price index (CPI).
d.
The consumer price index (CPI) must increase at least as much as the employee's wage.
95. Wages gained through collective bargaining extend:
a.
to hourly employees only.
b.
to both hourly and management employees.
c.
beyond the segment of the labor force that is unionized.
d.
to both exempt and nonexempt employees.
96. Job evaluation helps to establish:
a.
job classifications.
b.
the organization's ability to pay.
c.
internal equity.
d.
labor market conditions that affect pay.
97. With respect to pay equity, which of the following is NOT considered an input?
a.
Salary
b.
Ability
c.
Skill
d.
Experience
98. Which is the simplest and oldest method of job evaluation?
a.
Job worth system
b.
Job ranking system
c.
Job grade system
d.
Point system
99. Which system of job evaluation is being used when cards that list the duties and responsibilities of the job are
arranged by raters in order of the importance of the job?
a.
Point method
b.
Job ranking
c.
Job grade system
d.
Factor comparison method
100. Which of the following is NOT a form of pay equity?
a.
Internal equity
b.
External equity
c.
Collective equity
d.
Individual equity
101. Which system of job evaluation is being used when jobs are classified according to a series of predetermined wage
grades?
a.
Hay profile method
b.
Job ranking system
c.
Factor comparison method
d.
Job classification system
102. Elements of the compensation package are said to have _____ when an employee’s high performance leads to
monetary rewards that are valued.
a.
validity
b.
consistency
c.
instrumentality
d.
reliability
103. The federal civil service job classification system uses which type of job evaluation system?
a.
Point method
b.
Job ranking
c.
Factor comparison method
d.
Job classification system
104. A quantitative job evaluation procedure that determines a job's relative value on the basis of quantitative assessments
of specific job elements is known as:
a.
the point system.
b.
the job ranking system.
c.
the factor comparison method.
d.
the job grade system.
105. The elements of a job such as skills, efforts, responsibilities, and working conditions are referred to as:
a.
job specifications.
b.
job classification factors.
c.
compensable factors.
d.
factor comparisons.
106. Using the point method of job evaluation requires that managers:
a.
employ either a standardized program or customize a point method to fit their particular jobs.
b.
compare the job descriptions against the various factor-degree descriptions.
c.
link point totals to the wage curve.
d.
rank jobs by compensable factors.
107. The relative worth of a job evaluated using the point manual is determined by:
a.
benchmark jobs contained in the point manual.
b.
the wage mix.
c.
the number of steps within the pay grade.
d.
the total points that have been assigned to that job.
108. The job evaluation system that seeks to measure a job’s worth through its value to the organization is known as the:
a.
point method.
b.
job ranking system.
c.
work valuation system.
d.
Hay profile method.
109. Which job evaluation system serves to direct compensation dollars to the type of work pivotal to organizational
goals?
a.
Point method
b.
Job ranking
c.
Work valuation
d.
Hay profile method
110. Because of its focus, the Hay profile method is most useful for evaluating which type of jobs?
a.
Blue-collar jobs
b.
Entry level jobs
c.
Executive and managerial positions
d.
Jobs within a specific wage range
111. The Hay profile method uses which three factors for evaluating jobs?
a.
Knowledge, skill, and responsibility
b.
Responsibility, mental ability, and skill
c.
Responsibility, knowledge, and mental ability
d.
Knowledge, accountability, and mental ability
112. The area from which employers obtain certain types of workers is known as the:
a.
labor market.
b.
region.
c.
recruiting area.
d.
supply region.
113. In conducting a wage and salary survey for office personnel, the relevant labor market to be surveyed is most likely:
a.
regional.
b.
local.
c.
national.
d.
international
114. A U.S. survey found that _____ of employees say they work in a place where discussions of pay are “formally
prohibited and/or employees caught discussing wages could be punished.”
a.
19 percent
b.
38 percent
c.
57 percent
d.
76 percent
115. The relationship between the relative worth of jobs and their wage rates can be represented by means of a:
a.
regression line.
b.
wage survey.
c.
salary progression chart.
d.
wage curve.
116. Employers wishing to encourage employees to accept a promotion to a job in a higher grade would:
a.
increase the size of successive rate ranges.
b.
increase the point spread of pay grades.
c.
decrease the size of successive rate ranges.
d.
decrease the point spread of pay grades.
117. Jobs that are grouped into the same pay grade should:
a.
all receive the same wage rate in order to achieve equality.
b.
be paid within a range that does not overlap with bordering job grades so that distinctions between grades are
maintained.
c.
be paid within a range that may overlap with adjoining grades, so that an employee with experience can be
paid as much as or more than a newer employee in a higher grade.
d.
be paid at different wage rates because the worth of these jobs to the organization may differ.
