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139 Cards in this Set
- Front
- Back
_____ is a major consideration in HRM because it provides employees with tangible reward for their services, as well as a source of recognition and self-esteem.
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Pay
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_____ compensation encompasses employee wages & salaries, commissions, bonuses, and gainsharing.
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Direct
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_____ compensation comprises the many benefits supplied by employers
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Indirect
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_____ compensation includes employee recognition programs, rewarding jobs, organization support, work environment, and flexible work hours.
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Nonfinancial
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_____ links the compensation of employees to the mission, objectives, philosophies, and culture of the organization.
Serves to mesh the monetary payments made to employees with specific functions of the HR program in establishing a pay-for-performance standard. Seeks to motivate employees through compensation. |
Strategic Compensation Planning
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The standard by which managers tie compensation to employee effort and performance is the _____-_____-_____ Standard.
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Pay-for-Performance
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The Pay-for-Performance Standard refers to a wide range of compensation options, including merit-based pay, bonuses, salary commissions, job and pay banding, team/group incentives, and various _____ programs.
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gainsharing
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Pay constitutes a _____ measure of an employee's relative worth.
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quantitative
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_____ _____ (or Equity Theory) is a motivation theory that explains how people respond to situations in which they feel they have received less (or more) than they deserve.
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Distributive Fairness
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What states that individuals form a ratio of their inputs to outcomes in their job and then compare the value of that ratio with the value of the ratio for other individuals in similar jobs?
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pay equity/distributive fairness theory
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An employee's perception that compensation received is equal to the value of work performed is _____ _____.
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pay equity
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Compensation policies are usually _____ equitable when employees believe that the wage rates for their jobs approximate the job's worth to the organization. Perceptions of _____ pay equity exist when the organization is paying wages that are relatively equal to what other employers are paying for similar types of work.
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internally; external
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A theory of motivation that holds that employees should exert greater work effort if they have reason to expect that it will result in a reward that they value is the _____ Theory.
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Expectancy
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Elements of the compensation package are said to have _____ when an employee's high performance leads to monetary rewards that are valued.
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instrumentality
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Any organizational policy prohibiting employees from revealing their compensation information to anyone, which creates misperceptions and distrust of compensation fairness and pay-for-performance standards is known as _____ _____.
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pay secrecy
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The Bases for Compensation:
_____ ______ - Work paid on an hourly basis. _____ - Work paid according to the number of units produced. _____ _____ - Employees whose compensation is computed on the basis of weekly, biweekly, or monthly pay periods. |
Hourly Work
Piecework Salary Workers |
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Employees covered by the overtime provisions of the Fair Labor Standards Act are called _____ _____. They must be paid time and one-half their regular pay for all work performed after forty regular hours of work in a workweek. Most hourly workers employed in interstate commerce fall into this category.
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Nonexempt Employees
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Employees who are not covered in the overtime provisions of the Fair Labor Standards Act are called _____ _____. Managers, supervisors, and many white-collar professional employees are in this category on the basis of their exercise of independent judgment and other criteria.
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Exempt Employees
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The _____ factors that influence wage rates are the employer's compensation strategy of organization, worth of the job, employee's relative worth, and employer's ability to pay.
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internal
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The major _____ factors factors that influence wage rates include conditions of the labor market, area wage rates, cost of living, collective bargaining, and legal requirements.
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external
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A measure of the average change in prices over time in a fixed "market basket" of good and services is _____ _____ _____ (CPI).
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Consumer Price Index
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_____ clauses in labor agreements provide for quarterly upward cost-of-living (COLA) wage adjustments for inflation to protect employees’ purchasing power.
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Escalator
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_____ _____ are increases larger than rises in the consumer price index; that is, the real earning power of wages.
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Real wages
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Wages are usually _____ in areas where organized labor is strong.
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higher
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The systematic process of determining the relative worth of jobs in order to establish which jobs should be paid more than others within an organization is known as _____ _____.
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job evaluation
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What are the 4 traditional methods of comparison for job evaluating?
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1. job ranking system
2. job classification system 3. point system 4. factor comparison system |
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Which job evaluation system compares nonquantitative job vs. job?
A. job ranking system B. job classification system C. point system D. factor comparison system |
A. job ranking system
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Which job evaluation system compares quantitative job vs. job?
A. job ranking system B. job classification system C. point system D. factor comparison system |
D. factor comparison system
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Which job evaluation system compares quantitative job vs. scale?
A. job ranking system B. job classification system C. point system D. factor comparison system |
C. point system
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Which job evaluation system compares nonquantitative job vs. scale?
A. job ranking system B. job classification system C. point system D. factor comparison system |
B. job classification system
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The oldest system of job evaluation by which jobs are arrayed on the basis of their relative worth is _____ _____ System.
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Job Ranking
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What is the basic disadvantage of the Job Ranking System?
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Does not provide a precise measure of each job’s worth
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The system of job evaluation in which jobs are classified and grouped according to a series of predetermined wage grades is _____ _____ System.
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Job Classification
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The quantitative job evaluation procedure that determines the relative value of a job by the total points assigned to it is the _____ System.
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Point
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A handbook that contains a description of the compensable factors and the degrees to which these factors may exist within the jobs is the _____ _____.
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Point Manual
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A job evaluation system that seeks to measure a job’s worth through its value to the organization is _____ _____.
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Work Valuation
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The job evaluation technique using three factors—knowledge, mental activity, and accountability—to evaluate executive and managerial positions the _____ _____ Method.
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Hay Profile
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A survey of the wages paid to employees of other employers in the surveying organization’s relevant labor market, which helps maintain internal and external pay equity for employees is the _____ and _____ Survey,
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Wage and Salary Survey
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The _____ _____ is the area from which employers obtain certain types of workers.
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labor market
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The National Compensation Survey is published by the ____ of _____ _____ (BLS).
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Bureau of Labor Statistics
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Jobs that are important for wage-setting purposes and are widely known in the labor market are _____ (or Benchmark) jobs.
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Key
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A curve in a scattergram representing the relationship between relative worth of jobs and wage rates is _____ _____.
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Wage Cuve
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Groups of jobs within a particular class that are paid the same rate are _____ _____.
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Pay Grades
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A range of rates for each pay grade that may be the same for each grade or proportionately greater for each successive grade are _____ _____.
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Rate Ranges
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Payment rates above the maximum of the pay range are _____ _____ Rates.
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Red Circle
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Compensation for the different skills or increased knowledge employees possess rather than for the job they hold in a designated job category is _____-based pay.
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competence, skill, or knowledge
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Organizations that adopt a competency/skill-based pay system frequently use _____ to structure their compensation payments to employees. It collapses many traditional salary grades into a few wide salary bands.
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broadbanding
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Match:
1. Required overtime payments after 8 daily or 40 regular work hours for workers on federal contracts. 2. Interstate commerce clause used to cover workers except agricultural and exempted (managerial) employees, child labor (under 16) is prohibited. 3. Required minimum wage, prevailing wage rates, 1½ overtime premium payments by federal contractors. A. Davis-Bacon Act (1931) B. Walsh-Healy Act (1936) C. Fair Labor Standards Act (FLSA) 1938(as Amended) |
1. Required overtime payments after 8 daily or 40 regular work hours for workers on federal contracts: Walsh-Healy Act
(1936) 2. Interstate commerce clause used to cover workers except agricultural and exempted (managerial) employees, child labor (under 16) is prohibited: Fair Labor Standards Act (FLSA) 1938(as Amended) 3. Required minimum wage, prevailing wage rates, 1½ overtime premium payments by federal contractors: Davis-Bacon Act (1931) |
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The concept that male and female jobs that are dissimilar, but equal in terms of value or worth to the employer, should be paid the same is _____ _____ for _____ _____
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Equal Pay for Comparable Worth
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Compression of pay differentials between job classes, particularly the pay differentials between hourly workers and their managers is _____-_____ _____.
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Wage-Rate Compression
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Tying pay to some measure of individual, group, or organizational performance is _____ _____.
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variable pay
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Incentive Pay Programs establish a performance “_____” to qualify for incentive payments, emphasize a shared _____ on organizational objectives, and create shared _____ in that every individual contributes to organizational performance and success.
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threshold
focus commitment |
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In today's competitive world, one word, _____, describes the design of individual incentive programs.
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flexibility
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An incentive plan under which employees receive a certain rate for each unit produced is called _____ _____.
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straight piecework
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A compensation rate under which employees whose production exceeds the standard amount of output receive a higher rate for all of their work than the rate paid to those who do not exceed the standard amount is call _____ _____ _____.
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differential piece rate
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An incentive plan that sets pay rates based on the completion of a job in a predetermined “standard time" is _____ _____ Plan.
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Standard Hour
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A _____ is an incentive payment that is supplemental to the base wage for cost reduction, quality improvement, or other performance criteria.
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bonus
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Unplanned bonus given for employee effort unrelated to an established performance measure is a _____ _____.
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spot bonus
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_____ _____ Program links an increase in base pay to how successfully an employee achieved some objective performance standard.
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Merit Pay
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Guidelines for awarding merit raises that are tied to performance objectives are _____ _____.
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merit guidelines
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A program under which employees receive a year-end merit payment, which is not added to base pay is a _____-_____ _____ Program.
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Lump-Sum Merit
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A _____ _____ plan that permits salespeople to be paid for performing various duties that are not reflected immediately in their sales volume.
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straight salary
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A _____ Compensation plan based upon a percentage of sales.
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Straight
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_____ is a cash advance that must be paid back as commissions are earned.
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Draw
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A compensation plan that includes a straight salary and a commission component (“leverage”) is a _____ _____ and _____ Plan.
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Combined Salary and Commission Plan
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Under _____ _____ Bonus Plans, the payout can be paid on a monthly, quarterly, or yearly schedule contingent upon the salesperson achieving targeted sales goals such as number of sales calls made, account servicing, or quality of sales.
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Salary Plus
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The _____ Pay Package consists of 5 basic components:
Base salary Short-term incentives or bonuses Long-term incentives or stock plans Benefits Perquisites (perks) |
Executive
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_____ are special nonmonetary benefits given to executive, and are often referred to as "perks"
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Perquisites
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Compensation plans where all team members receive an incentive bonus payment when production or service standards are met or exceeded are _____ _____ Plans.
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Team Incentive
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Programs under which both employees and the organization share the financial gains according to a predetermined formula that reflects improved productivity and profitability are _____ Plans.
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Gainsharing
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Match:
1. Shared rewards come from the difference between labor costs and sales value of production. 2. Rewards come from employee participation in improving productivity and reducing costs. 3. Gainsharing based on increases in productivity of the standard hour output of work teams. 4. Encourages employees to achieve higher output and quality standards by placing a portion of their base salary at risk of loss. A. Scanlon Plan B. Rucker Plan (SOP) C. Improshare D. Earnings-at-risk |
1. Rucker Plan (SOP): Shared rewards come from the difference between labor costs and sales value of production.
2. Scanlon Plan: Rewards come from employee participation in improving productivity and reducing costs 3. Improshare:Gainsharing based on increases in productivity of the standard hour output of work teams. 4. Earnings-at-risk: Encourages employees to achieve higher output and quality standards by placing a portion of their base salary at risk of loss. |
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Any procedure by which an employer pays, or makes available to all regular employees, in addition to their base pay, current or deferred sums based upon the profits of the enterprise is called _____ _____.
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profit sharing
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Stock plans in which an organization contributes shares of its stock to an established trust for the purpose of stock purchases by its employees are _____ _____ _____ Plans (ESOPs).
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Employee Stock Ownership Plans
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Benefit plans that enable individual employees to choose the benefits that are best suited to their particular needs are _____ _____ Plans (Cafeteria Plans).
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Flexible Benefits
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In what type of benefit plan do employees use “credits” to “buy” whatever other benefits they need?
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Flexible/Cafeteria
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According to a 2007 U.S. Chamber of Commerce study, the cost of employee benefits averaged _____ percent of payroll.
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42.7
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Require by law or discretionary?
1. Unpaid leave (FMLA) 2. Supplemental Unemployment Benefits 3. Payment for time not worked 4. Social Security 5. Unemployment Insurance 6. Life and LT Care Insurance 7. Worker's Compensation 8. Health Care 9. Retirements and Pensions |
1. required by law
2. discretionary 3. discretionary 4. required by law 5. required by law 6. discretionary 7. required by law 8. discretionary 9. discretionary |
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Mandates that employers make health coverage—at the same rate the employer would pay—available to employees, their spouses, and their dependents on termination of employment, death, or divorce.
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The Consolidated Omnibus Budget Reconciliation Act of 1986 (COBRA)
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Grants employees the right to switch medical insurance between former and present employers with no gap in coverage regardless of preexisting health condition once the employees have earned twelve service credits at the former employee
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Health Insurance Portability and Accountability Act (HIPAA) of 1996
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Prohibits age-based discrimination in early retirement and other benefit plans by imposing strict guidelines on employers who seek to have employees sign release forms waiving their right to pursue age discrimination claims under the ADEA.
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Older Workers Benefit Protection Act (OWBPA)
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Organizations of physicians and health-care professionals that provide a wide range of services to subscribers and dependents on a prepaid basis.
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Health Maintenance Organizations (HMOs)
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_____ _____ _____ is a group of physicians establish an organization that guarantees lower healthcare costs to the employer.
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Preferred Provider Organization (PPO)
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_____-_____ _____ Plan is a high-deductible medical insurance plan financed by employer contributions to an employee’s limited individual healthcare spending account
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Consumer-Driven Health Plan (CDHP)
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What are MSAs?
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Medical savings account
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What are HSAs?
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Health Savings accounts
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What are FSAs?
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Flexible spending accounts
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What are HRAs?
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Health reimbursement accounts
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A plan that enables an employee who is laid off to draw, in addition to unemployment compensation, weekly benefits from the employer that are paid from a fund created for this purpose is _____ _____ _____ (SUBs).
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Supplemental Unemployment Benefits
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An early-retirement incentive in the form of increased pension benefits for several years or a cash bonus is called _____ _____.
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Silver Handshake
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Contributions to a plan are made jointly by employees and employers in a _____ plan.
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Contributory
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Contributions to a plan are made solely by the employer in a _____ plan.
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Noncontributory
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The amount an employee is to receive upon retirement is specifically set forth in a _____-_____ plan.
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Defined-benefit
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The basis (amount) an employer contributes to the pension fund is specified in a _____-_____ plan.
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Defined-contribution
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In a _____-_____ Pension Plan, employer contributes a percentage of employee’s pay each year. Account balance earns interest each year. Experts predict it will replace traditional pension plans.
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Cash-Balance
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What is ERISA?
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Employee Retirement Income Security Act (Private pension plans are subject to ERISA regulations that provides standards and controls for pension plans)
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A guarantee of accrued benefits to participants at retirement age, regardless of their employment status at that time is called _____.
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vesting
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Services provided by employers to help workers cope with a wide variety of problems that interfere with the way they perform their jobs are _____ _____ _____ (EAPs).
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Employee Assistance Programs
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Care provided to a child or an elderly relative by an employee who remains actively at work is called _____ and _____ _____.
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Child and Elderly Care
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True or False? Employers have the right to be advised by an OSHA compliance officer of the reason for a workplace inspection.
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True
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True or False? Employers have the legal right to have a company representative accompany the OSHA compliance officer on an inspection.
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True
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True or False? OSHA requires that employers provide access to employees regarding the company’s medical and exposure record.
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True
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What percentage of the U.S. population will be affected by back injuries?
a. 23 b. 47 c. 60 d. 80 |
d. 80
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True or False? In order to correct potential health and safety problems, employers have the right to know the name of an employee who files a complaint with OSHA.
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False
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True or False? Employers have the legal right to request an inspection warrant before OSHA inspectors can enter a work site.
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True
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Which causes more accidents: unsafe acts or unsafe conditions?
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Unsafe Acts (85% of all accidents)
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True or False? Employers are required to provide employee training on OSHA standards.
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True
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True or False? Employers are required to allow OSHA inspectors on premises for unannounced inspections.
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False
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True or False? Employers have twenty-four hours to report to OSHA accidents that result in a fatality.
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False (8 hours)
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What is OSHA?
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Occupational Safety and Health Act
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What type of citation/penalty?
1. A violation that has a direct relationship to job safety and health, but one unlikely to cause death or serious physical harm. OSHA may propose a penalty of up to $7,000 for each violation. 2. A violation that the employer intentionally and knowingly commits, or a violation that the employer commits with plain indifference to the law. OSHA may propose penalties of up to $70,000 for each violation. 3. A violation where there is substantial probability that death or serious physical harm could result and the employer knew, or should have known, of the hazard. OSHA may propose a mandatory penalty of up to $7,000 for each violation. |
1. Other-Than-Serious
2. Willful 3. Serious |
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Programs that encourage employers to go beyond the minimum requirements of OSHA are _____ _____ Programs (VPPs)
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Voluntary Protection Programs
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What are SPPs?
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Strategic Partnership Programs
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What is SHARP?
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Safety and Health Achievement Recognition Program
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The number of injuries and illnesses per 100 full-time employees during a given year where 200,000 equals the base for 100 full-time workers who work forty hours a week, fifty weeks a year is called _____ _____.
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incident rate
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Number of injuries and illnesses × 200,000
___________________________________ Total hours worked by all employees during the period covered = |
incident rate
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Laws that require employers to advise employees about the hazardous chemicals they handle are _____-to-_____ Laws
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Right-to-Know Laws
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OSHA-published hazardous chemical regulations known as the _____ _____ _____ (HCS) prescribes a system for communicating data on health risks of handling certain materials
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Hazard Communication Standard
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Documents that contain vital information about hazardous substances are _____ _____ _____ _____ (MSDSs).
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Material Safety Data Sheets
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What is they key role of the supervisor in promoting safety awareness?
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Communicating the need to work safely.
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What re VDTs?
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Video Display Terminals
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Injuries involving tendons of the fingers, hands, and arms that become inflamed from repeated stresses and strains resulting from jobs requiring repetitive motion of the fingers, hands, or arms are _____ _____ _____ (Repetitive Motion Injuries).
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Cumulative Trauma Disorders
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Teams, composed of both hourly and managerial employees, conduct:
Initial risk assessment surveys Develop action plans to respond to violent situations Perform crisis intervention during violent, or potentially violent, encounters |
Crisis Management Teams
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The _____-_____ _____ Act of 1988 requires federal contractors and recipients of federal grants to ensure a drug-free work environment.
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The Drug-Free Workplace Act
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Any adjustive demand caused by physical, mental, or emotional factors that requires coping behavior is _____.
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stress
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Positive stress that accompanies achievement and exhilaration is _____.
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eustress
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Harmful stress characterized by a loss of feelings of security and adequacy is _____.
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distress
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_____ is the most severe stage of distress, manifesting itself in depression, frustration, and loss of productivity.
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Burnout
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Benefits now account for _____ to _____% of total compensation package.
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18 to 35%
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What are the 4 categories of benefits?
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Mandatory
Optional or Voluntary Pension and Retirement Miscellaneous |
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1972 _____ Act prohibits sex discrimination at schools and universities receiving federal funds
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Education
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1976 landmark case addressing workplace sexual harassment
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William v Saxbe
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1982 and 1983 cases that established “Hostile Environment”
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Henson v. City of Dundee
Katz v Dole |
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1986 Supreme court case supports “hostile environment”; held sexual harassment is discrimination based on sex.
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Meritor Savings Bank v Vinson
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1991 case – posting of pinups is sexual harassment
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Robinson v Jacksonville Shipyards
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1991 case that established “Reasonable Woman” Standard
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Ellison v Brady
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Plaintiff on all-male crew claimed verbal and physical harassment. Complaint to managers did not stop conduct. Supreme Court held same-sex harassment prohibited by Title VII.
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Oncale v. Sundowner Offshore Services Inc.
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Which case first addressed same-sex sexual harassment?
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Oncale v. Sundowner Offshore Services
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Case that upheld harassment based on sexual orientation.(9th circuit court).
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Rene v. MGM Grand
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Which case (7th circuit) upholds the equal-opportunity harasser defense. Harassed all, not based on gender therefore not covered under Title VII?
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Holman v Indiana
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