Selection procedures that provide economic value greater than the cost of using them
are said to have utility.
Employees’ job security has increased as a result of the new psychological contract.
Individuals who arrive in the United States without meeting the legal requirements for
immigration or asylum are referred to as undocumented immigrants.
Interviewing is considered the most accurate basis for making a selection decision.
Generally, organizations encourage voluntary turnover among top performers because it
is inexpensive.
Outcome fairness involves the ends of a discipline process, while procedural and
interactional justice focus on the means to those ends.
Employees can sue employers for wrongful discharge only if the employee was
contracted under the employment-at-will doctrine.
A standard hour incentive plan is likely to be successful if:
A. most or all of a salesperson’s compensation is in the form of commissions.
B. employers keep labor costs to a minimum.
C. the pay increase is linked to ratings on performance appraisals.
D. employees want the extra money more than they want to work at a pace that feels
comfortable.
E. the organization values employee satisfaction, product quality, and customer service
more than profits.
A pay policy line:
A. shows the mathematical relationship between the minimum pay and the maximum
pay in an organization.
B. can be generated using a statistical method called regression analysis.
C. requires market-pay-rate data on all jobs in the organization.
D. can seldom provide information on the market pay level for a given job evaluation.
E. reflects the pay structure in the market, which always matches rates in the
organization.
A human resource (HR) professional of a company exhibits his or her skills as a(n)
_____ when he or she knows how the company makes money, who its customers are,
and why customers buy what the company sells.
A. cultural and change steward
B. credible activist
C. strategic architect
D. business ally
E. organizational designer
The Davis-Bacon Act of 1931:
A. requires that a lower “training wage” be paid to workers under the age of 20 for a
period of up to 90 days.
B. mandates that employers pay higher wages for overtime, defined as hours worked
beyond 40 hours per week.
C. requires general contractors performing services on prime contracts in excess of
$2,500 to pay service employees in various classes no less than the wage rates found
prevailing in the locality.
D. covers all government contractors receiving $10,000 or more in federal funds.
E. covers construction contractors that receive more than $2,000 in federal money.
Keith and his team, employees of an online retailing company, are being trained on
cyber surveillance and user security. As part of their training, they are working to
identify a solution to the problem of cyber-phishing and data breaches. Which of the
following forms of group-building methods is being employed by Keith’s team?
A. Cross-learning
B. Action learning
C. Adventure learning
D. Virtual reality
E. Behavior modeling
Matt has a health care plan that provides him coverage in such a way that allows him to
be involved in making decisions to help lower costs. This plan typically includes
insurance with a high deductible, a medical savings account, and ongoing health
education. Which type of health care plan is Matt using?
A. Managed care
B. Health maintenance organization
C. Preferred provider organization
D. Flexible health plan
E. Consumer-driven health plan
Karl, an employee at BizVentures Inc., is known for his short-tempered and
argumentative nature. During a heated exchange at work one day, Karl makes a
derogatory gesture toward his manager, which causes Karl to be fired. This scenario is
an example of:
A. revolving door policy.
B. open-door policy.
C. voluntary turnover.
D. progressive discipline.
E. involuntary turnover.
Steve Karl, a general manager at Bleaker Inc., believes that succession planning helps
create a sense of motivation in high-potential employees who are also very ambitious.
His management colleague, Darrell, feels that succession planning would create fewer
opportunities for low-potential employees who would also some day like to hold higher
positions in the organization. Which of the following statements supports Steve’s belief?
A. Succession planning alone can help create a sense of motivation in employees.
B. Darrell feels that succession planning can create conflict among employees.
C. Succession planning helps provide special training and knowledge to potential high
performers.
D. Succession planning may create personal bias in employees who fail to see talent in
others.
E. Succession planning is just one of the many ways to identify eligible employees in
the organization.
A firm’s HR department uses a computer system that assists in the selection of
candidates to be interviewed for a job opening. The computer system enables the
interviewer to act as both an interviewee and interviewer in a simulation, thus providing
the HR specialist with comprehensive knowledge about the overall interview and
selection process. This computer system is likely to be a(n) _____.
A. expert system
B. employee retention system
C. decision support system
D. work-action system
E. document management system
Kim Riaz is a technical analyst at WaterDrop Inc. and has consistently impressed her
managers with her ability to perform outstandingly in all projects assigned to her. Her
manager, Carl, understands that she is really good at her job but also recognizes that she
might experience burnout because of the repetitive nature of the job. He talks to her
about developing other possible skills by working full time for a short period at a
different company. In this scenario, which of the following approaches to employee
development is Carl encouraging?
A. Externship
B. Transfer
C. Promotion
D. Job rotation
E. Job transfer
Identify a benefit of applying statistical forecasting methods.
A. They are particularly useful in dynamic environments.
B. Under the right conditions, they provide predictions that are much more precise than
judgmental methods.
C. They are particularly useful in predicting important events that have no historical
precedent.
D. They are invariably better than the “best guesses” of experts.
E. They can be used by organizations as a substitute for relying on the subjective
judgments of experts.
Carbon Fine Inc., a mining industry, hires employees belonging to the age group of 16
to 30. The company provides overtime pay for its employees. The company is charged
for violation of law under the FLSA. Which of the following best explains the reason
for the company being sued?
A. Individuals aged 16 and 17 are being employed as mine workers.
B. Executive employees of the company are not being provided overtime pay.
C. Employees are being paid overtime only if they work beyond 40 hours in one week.
D. Mine workers are being paid only 25% above the minimum wage.
E. Individuals eligible for overtime are being paid at one and a half times the
employee’s regular pay rate, including bonuses.
Which of the following statements is true of expert systems?
A. They can only be used by employees who have proven expertise in a certain area.
B. They increase errors arising from decision-making biases.
C. They are typically unstable.
D. They deliver quality at a very high cost.
E. They aid in reducing errors that result from fatigue.
For a learning organization to function well, employees ought to:
A. create short-term learning goals rather than long-term learning goals.
B. identify their own training needs.
C. take part in seminars and conferences at least once every week.
D. share the information that was acquired during the learning process.
E. distribute highly classified information.
Reese’s use of illegal drugs limits her ability to walk properly. The elevator at her office
was not working for many months, so she needed to climb two flights of stairs and it
was difficult to get to her desk. She tried suing her company under the Americans with
Disabilities Act (ADA) of 1990, arguing that her company discriminates against
individuals who cannot perform major life activities. Which of the following would
weaken Reese’s argument?
A. Reese is not a senior employee.
B. The ADA prohibits discrimination only against workers who are over the age of 40.
C. The ADA does not cover conditions of substance abuse.
D. Reese is not pregnant.
E. The ADA applies only to the decisions or actions of the government.
Teno Industries Inc. is a manufacturing company based in Texas. Teno Industries
implemented the comparable-worth policy to establish equal pay for all employees.
However, the organization incurred losses of about $20 million. In this scenario, which
of the following is most likely the reason for the failure of the comparable-worth
policy?
A. The employer is at an economic disadvantage because of increased pay for some
jobs.
B. The policy overlooks the undervalued work performed by women.
C. The policy uses job enrichment to establish pay structure based on market rate.
D. The employer ignores consider the evaluation points for each job.
E. The lower-paid jobs are encouraged to meet the goal of comparable worth.
Which of the following situations is an example of involuntary turnover?
A. Jia, an employee at DotPrint, is suspended for a week because of workplace violence
B. Natasha, a supervisor at JBX Inc., decides to leave her job because she is moving to
another country
C. Hector, a manager at EuroCare Co., resigns from his job because he has a better job
offer from another company
D. Ming, an employee at FantaFurnish Corp., wants to leave her job to pursue a college
degree
E. Gizela, an employee at Future Tech Inc., is fired because of theft
Which of the following is a set of possible pay rates defined by a minimum, maximum,
and midpoint of pay for employees holding a particular job?
A. Pay grade
B. Pay range
C. Pay differential
D. Compa-ratio
E. Compensation differential
The method for providing solutions to union-management conflicts over interpretation
or violation of a collective bargaining agreement is known as a _____.
A. complaint protocol
B. chain of command
C. grievance procedure
D. protest procedure
E. corporate campaign
In terms of external sources of recruitment, who are direct applicants and referrals?
Why are these two groups regarded as excellent sources of recruitment?
Explain the two broad categories of employment tests.
What are the implications of designing pay for organizational performance?
Discuss how recruitment and selection practices contribute to high performance in an
organization.
Disparate treatment is considered a sign of discrimination. Why is this so? Do you think
it can ever be legal? If so, in what kind of situations? Substantiate your answer with
examples.
What is affirmative action? Do you think this will lead to reverse discrimination?
Explain your answer.
What are the different types of incentive pay? How should organizations choose the
right type of incentive pay?