Human Resource Mgmt 11Th Ed. Chapter 12

Front 1

Balance-sheet approach

Back 1

Compensation plan that equalizes cost differences between identical international and home-country assignments.

Hint 1

Chap 12

Front 2

Base pay

Back 2

Basic compensation that an employee receives, usually as a wage or a salary.

Hint 2

Chap 12

Front 3

Benchmark jobs

Back 3

Jobs found in many organizations.

Hint 3

Chap 12

Front 4

Benefit

Back 4

Indirect reward given to an employee or a group of employees for organizational membership.

Hint 4

Chap 12

Front 5

Broadbanding

Back 5

Practice of using fewer pay grades with much broader ranges than in traditional compensation systems.

Hint 5

Chap 12

Front 6

Compa-ratio

Back 6

Pay level divided by the midpoint of the pay range.

Hint 6

Chap 12

Front 7

Compensable factor

Back 7

Factor that identifies a job value commonly present throughout a group of jobs.

Hint 7

Chap 12

Front 8

Compensatory time off

Back 8

Hours given to an employee in lieu of payment for extra time worked.

Hint 8

Chap 12

Front 9

Competency-based pay

Back 9

Rewards individuals for the capabilities they demonstrate and acquire.

Hint 9

Chap 12

Front 10

Distributive justice

Back 10

Perceived fairness in the distribution of outcomes.

Hint 10

Chap 12

Front 11

Entitlement philosophy

Back 11

Assumes that individuals who have worked another year are entitled to pay increases, with little regard for performance differences.

Hint 11

Chap 12

Front 12

Equity

Back 12

Perceived fairness between what a person does and what the person receives.

Hint 12

Chap 12

Front 13

Exempt employees

Back 13

Employees to whom employers are not required to pay overtime under the Fair Labor Standards Act.

Hint 13

Chap 12

Front 14

Garnishment

Back 14

A court action in which a portion of an employee’s wages is set aside to pay a debt owed a creditor.

Hint 14

Chap 12

Front 15

Global market approach

Back 15

Compensation plan that attempts to be more comprehensive in providing base pay, incentives, benefits, and relocation expenses regardless of the country to which the employee is assigned.

Hint 15

Chap 12

Front 16

Green-circled employee

Back 16

Incumbent who is paid below the range set for the job.

Hint 16

Chap 12

Front 17

Job evaluation

Back 17

Formal, systematic means to identify the relative worth of jobs within an organization.

Hint 17

Chap 12

Front 18

Job family

Back 18

Group of jobs having common organizational characteristics.

Hint 18

Chap 12

Front 19

Living wage

Back 19

One that is supposed to meet the basic needs of a worker’s family.

Hint 19

Chap 12

Front 20

Lump-sum increase (LSI)

Back 20

One-time payment of all or part of a yearly pay increase.

Hint 20

Chap 12

Front 21

Market banding

Back 21

Grouping jobs into pay grades based on similar market survey amounts.

Hint 21

Chap 12

Front 22

Market line

Back 22

Graph line that shows the relationship between job value as determined by job evaluation points and job value as determined by pay survey rates.

Hint 22

Chap 12

Front 23

Market pricing

Back 23

Use of pay survey data to identify the relative value of jobs based on what other employers pay for similar jobs.

Hint 23

Chap 12

Front 24

Non-exempt employees

Back 24

Employees who must be paid overtime under the Fair Labor Standards Act.

Hint 24

Chap 12

Front 25

Pay compression

Back 25

Occurs when the pay differences among individuals with different levels of experience and performance become small.

Hint 25

Chap 12

Front 26

Pay equity

Back 26

Similarity in pay for all jobs requiring comparable knowledge, skills, and abilities, even if actual duties and market rates differ significantly.

Hint 26

Chap 12

Front 27

Pay grades

Back 27

Groupings of individual jobs having approximately the same job worth.

Hint 27

Chap 12

Front 28

Pay survey

Back 28

Collection of data on compensation rates for workers performing similar jobs in other organizations.

Hint 28

Chap 12

Front 29

Pay-for-performance philosophy

Back 29

Requires that compensation changes reflect individual performance differences.

Hint 29

Chap 12

Front 30

Procedural justice

Back 30

Perceived fairness of the process and procedures used to make decisions about employees.

Hint 30

Chap 12

Front 31

Red-circled employee

Back 31

Incumbent who is paid above the range set for the job.

Hint 31

Chap 12

Front 32

Salaries

Back 32

Consistent payments made each period regardless of the number of hours worked.

Hint 32

Chap 12

Front 33

Seniority

Back 33

Time spent in the organization or on a particular job.

Hint 33

Chap 12

Front 34

Tax equalization plan

Back 34

Compensation plan used to protect expatriates from negative tax consequences.

Hint 34

Chap 12

Front 35

Variable pay

Back 35

Compensation linked directly to individual, team, or organizational performance.

Hint 35

Chap 12

Front 36

Wages

Back 36

Payments directly calculated on the amount of time worked.

Hint 36

Chap 12