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320 Cards in this Set
- Front
- Back
- 3rd side (hint)
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Collaborative HR
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The process of HR professionals from several different organizations working jointly to address shared business problems.
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#1 - Changing Nature of HR Mgmt
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Core competency
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A unique capability that creates high value and differentiates an organization from its competition.
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#1 - Changing Nature of HR Mgmt
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HR Generalist
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A person who has responsibility for performing a variety of HR activities.
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#1 - Changing Nature of HR Mgmt
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HR Specialist
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A person who has in-depth knowledge and expertise in a limited area of HR.
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#1 - Changing Nature of HR Mgmt
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Human capital
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The collective value of the capabilities, knowledge, skills, life experiences, and motivation of an organizational workforce.
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#1 - Changing Nature of HR Mgmt
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Human Resource (HR) management
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The direction of organizational systems to ensure that human talent is used effectively and efficiently to accomplish organizational goals.
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#1 - Changing Nature of HR Mgmt
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Human resource management system (HRMS)
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An integrated system providing information used by HR management in decision making.
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#1 - Changing Nature of HR Mgmt
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Organizational culture
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The shared values and beliefs in an organization.
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#1 - Changing Nature of HR Mgmt
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Benchmarking
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Comparing specific measures of performance against data on those measures in other organizations.
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#2 - Strategic HR Mgmt
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Culture
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Societal forces affecting the values, beliefs, and actions of a distinct group of people.
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#2 - Strategic HR Mgmt
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Economic value added (EVA)
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Net operating profit of a firm after the cost of capital is deducted.
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#2 - Strategic HR Mgmt
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Effectiveness
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The extent to which goals have been met.
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#2 - Strategic HR Mgmt
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Efficiency
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The degree to which operations are done in an economical manner.
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#2 - Strategic HR Mgmt
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Environmental scanning
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Process of studying the environment of the organization to pinpoint opportunities and threats.
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#2 - Strategic HR Mgmt
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Forecasting
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Using information from the past and the present to identify expected future conditions.
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#2 - Strategic HR Mgmt
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Global organization
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Firm that has corporate units in a number of countries that are integrated to operate worldwide.
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#2 - Strategic HR Mgmt
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HR audit
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Formal research effort that evaluates the current state of HR management in an organization.
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#2 - Strategic HR Mgmt
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HR metrics
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Specific measures tied to HR performance indicators.
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#2 - Strategic HR Mgmt
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HR Strategies
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Means used to anticipate and manage the supply of and demand for human resources.
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#2 - Strategic HR Mgmt
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Human resource (HR) planning
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Process of analyzing and identifying the need for and availability of human resources so that the organization can meet its objectives.
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#2 - Strategic HR Mgmt
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Importing and exporting
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Buying and selling goods and services with organizations in other countries.
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#2 - Strategic HR Mgmt
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Individualism
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Dimension of culture that refers to the extent to which people in a country prefer to act as individuals instead of members of groups.
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#2 - Strategic HR Mgmt
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Long-term orientation
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Dimension of culture that refers to the preference of people in a country for long-term values as opposed to short-term values.
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#2 - Strategic HR Mgmt
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Masculinity/femininity
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Dimension of culture that refers to the degree to which “masculine” values prevail over “feminine” values.
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#2 - Strategic HR Mgmt
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Multi-national enterprise (MNE)
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Organization that has operating units located in foreign countries.
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#2 - Strategic HR Mgmt
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Organizational culture
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The shared values and beliefs in an organization.
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#2 - Strategic HR Mgmt
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Power distance
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Dimension of culture that refers to the inequality among the people of a nation.
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#2 - Strategic HR Mgmt
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Productivity
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Measure of the quantity and quality of work done, considering the cost of the resources used.
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#2 - Strategic HR Mgmt
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Return on investment (ROI)
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Calculation showing the value of expenditures for HR activities.
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#2 - Strategic HR Mgmt
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Strategic HR management
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Use of employees to gain or keep a competitive advantage, resulting in greater organizational effectiveness.
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#2 - Strategic HR Mgmt
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Succession planning
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Process of identifying a longer-term plan for the orderly replacement of key employees.
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#2 - Strategic HR Mgmt
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Uncertainty avoidance
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Dimension of culture that refers to the preference of people in a country for structured rather than unstructured situations.
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#2 - Strategic HR Mgmt
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Unit labor cost
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Computed by dividing the average cost of workers by their average levels of output.
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#2 - Strategic HR Mgmt
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Attitude survey
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A survey that focuses on employees’ feelings and beliefs about their jobs and the organization.
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#3 - Organizational/Individual Relations & Retention
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Exit interview
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An interview in which individuals are asked to give their reasons for leaving the organization.
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#3 - Organizational/Individual Relations & Retention
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Job satisfaction
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A positive emotional state resulting from evaluating one’s job experiences.
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#3 - Organizational/Individual Relations & Retention
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Motivation
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The desire within a person causing that person to act.
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#3 - Organizational/Individual Relations & Retention
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Organizational commitment
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The degree to which employees believe in and accept organizational goals and desire to remain with the organization.
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#3 - Organizational/Individual Relations & Retention
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Organizational culture
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The shared values and beliefs of a workforce.
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#3 - Organizational/Individual Relations & Retention
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Psychological contract
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The unwritten expectations employees and employers have about the nature of their work relationships.
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#3 - Organizational/Individual Relations & Retention
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Turnover
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The process in which employees leave an organization and have to be replaced.
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#3 - Organizational/Individual Relations & Retention
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4/5ths rule
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Discrimination exists if the selection rate for a protected group is less than 80% (4/5ths) of the selection rate for the majority group or less than 80% of the majority group’s representation in the relevant labor market.
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#4 - Legal Framework of Equal Employment
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Affirmative action
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Employers are urged to hire groups of people based on their race, age, gender, or national origin, to make up for historical discrimination.
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#4 - Legal Framework of Equal Employment
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Blind to differences
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Differences among people should be ignored and everyone should be treated equally.
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#4 - Legal Framework of Equal Employment
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Bona fide occupational qualification (BFOQ)
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Characteristic providing a legitimate reason why an employer can exclude persons on otherwise illegal bases of consideration.
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#4 - Legal Framework of Equal Employment
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Burden of proof
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What individuals who file suit against employers must prove in order to establish that illegal discrimination has occurred.
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#4 - Legal Framework of Equal Employment
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Business necessity
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Practice necessary for safe and efficient organizational operations.
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#4 - Legal Framework of Equal Employment
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Concurrent validity
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Measured when an employer tests current employees and correlates the scores with their performance ratings.
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#4 - Legal Framework of Equal Employment
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Content validity
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Validity measured by a logical, non-statistical method to identify the KSAs and other characteristics necessary to perform a job.
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#4 - Legal Framework of Equal Employment
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Correlation coefficient
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Index number giving the relationship between a predictor and a criterion variable.
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#4 - Legal Framework of Equal Employment
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Criterion-related validity
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Validity measured by a procedure that uses a test as the predictor of how well an individual will perform on the job.
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#4 - Legal Framework of Equal Employment
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Disabled person
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Someone who has a physical or mental impairment that substantially limits life activities, who has a record of such an impairment, or who is regarded as having such an impairment.
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#4 - Legal Framework of Equal Employment
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Disparate impact
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Occurs when members of a protected class are substantially under-represented as a result of employment decisions that work to their disadvantage.
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#4 - Legal Framework of Equal Employment
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Disparate treatment
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Occurs when members of a protected class are treated differently from others.
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#4 - Legal Framework of Equal Employment
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Employment “test”
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Any employment procedure used as the basis for making an employment-related decision.
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#4 - Legal Framework of Equal Employment
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Equal employment
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Employment that is not affected by illegal discrimination.
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#4 - Legal Framework of Equal Employment
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Essential job functions
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Fundamental duties of a job.
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#4 - Legal Framework of Equal Employment
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Mediation
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Dispute resolution process by which a third party helps negotiators reach a settlement.
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#4 - Legal Framework of Equal Employment
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Pay equity
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Idea that pay for jobs requiring comparable levels of knowledge, skill, and ability should be similar, even if actual duties differ significantly.
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#4 - Legal Framework of Equal Employment
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Predictive validity
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Measured when test results of applicants are compared with subsequent job performance.
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#4 - Legal Framework of Equal Employment
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Protected class
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Individuals within a group identified for protection under equal employment laws and regulations.
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#4 - Legal Framework of Equal Employment
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Reasonable accommodation
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A modification or adjustment to a job or work environment for a qualified individual with a disability.
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#4 - Legal Framework of Equal Employment
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Reliability
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Consistency with which a test measures an item.
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#4 - Legal Framework of Equal Employment
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Retaliation
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Punitive actions taken by employers against individuals who exercise their legal rights.
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#4 - Legal Framework of Equal Employment
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Sexual harassment
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Actions that are sexually directed, are unwanted, and subject the worker to adverse employment conditions or create a hostile work environment.
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#4 - Legal Framework of Equal Employment
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Undue hardship
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Significant difficulty or expense imposed on an employer in making an accommodation for individuals with disabilities.
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#4 - Legal Framework of Equal Employment
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Validity
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Extent to which a test actually measures what it says it measures.
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#4 - Legal Framework of Equal Employment
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Affirmative action plan (AAP)
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Formal document that an employer compiles annually for submission to enforcement agencies.
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#5 - Managing Equal Employment & Diversity
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Availability analysis
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Identifies the number of protected-class members available to work in the appropriate labor markets for given jobs.
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#5 - Managing Equal Employment & Diversity
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Glass ceiling
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Discriminatory practices that have prevented women and other protected-class members from advancing to executive-level jobs.
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#5 - Managing Equal Employment & Diversity
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Hostile environment
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Sexual harassment in which an individual’s work performance or psychological well-being is unreasonably affected by intimidating or offensive working conditions.
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#5 - Managing Equal Employment & Diversity
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Nepotism
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Practice of allowing relatives to work for the same employer.
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#5 - Managing Equal Employment & Diversity
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Phased retirement
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Approach in which employees gradually reduce their workloads and pay.
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#5 - Managing Equal Employment & Diversity
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Quid pro quo
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Sexual harassment in which employment outcomes are linked to the individual granting sexual favors.
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#5 - Managing Equal Employment & Diversity
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Reverse discrimination
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When a person is denied an opportunity because of preferences given to protected-class individuals who may be less qualified.
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#5 - Managing Equal Employment & Diversity
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Utilization analysis
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Identifies the number of protected-class members employed in the organization and the types of jobs they hold.
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#5 - Managing Equal Employment & Diversity
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Autonomy
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Extent of individual freedom and discretion in the work and its scheduling.
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#6 - Jobs & Job Analysis
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Business process re-engineering (BPR)
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Measures for improving such activities as product development, customer service, and service delivery.
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#6 - Jobs & Job Analysis
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Competencies
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Individual capabilities that can be linked to enhanced performance by individuals or teams.
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#6 - Jobs & Job Analysis
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Compressed workweek
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Schedule in which a full week’s work is accomplished in fewer than 5 8-hour days.
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#6 - Jobs & Job Analysis
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Duty
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Larger work segment composed of several tasks that are performed by an individual.
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#6 - Jobs & Job Analysis
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Feedback
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Amount of information employees receive about how well or how poorly they have performed.
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#6 - Jobs & Job Analysis
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Flextime
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Scheduling arrangement in which employees work a set number of hours a day but vary starting and ending times.
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#6 - Jobs & Job Analysis
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Job
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Grouping of tasks, duties, and responsibilities that constitutes the total work assignment for employees.
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#6 - Jobs & Job Analysis
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Job analysis
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Systematic way of gathering and analyzing information about the content, context, and human requirements of jobs.
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#6 - Jobs & Job Analysis
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Job description
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Identification of the tasks, duties, and responsibilities of a job.
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#6 - Jobs & Job Analysis
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Job design
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Organizing tasks, duties, and responsibilities into a productive unit of work.
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#6 - Jobs & Job Analysis
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Job enlargement
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Broadening the scope of a job by expanding the number of different tasks to be performed.
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#6 - Jobs & Job Analysis
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Job enrichment
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Increasing the depth of a job by adding responsibility for planning, organizing, controlling, or evaluating the job.
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#6 - Jobs & Job Analysis
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Job rotation
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Process of shifting a person from job to job.
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#6 - Jobs & Job Analysis
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Job sharing
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Scheduling arrangement in which two employees perform the work of one full-time job.
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#6 - Jobs & Job Analysis
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Job specifications
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The knowledge, skills, and abilities (KSAs) an individual needs to perform a job satisfactorily.
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#6 - Jobs & Job Analysis
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Marginal job functions
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Duties that are part of a job but are incidental or ancillary to the purpose and nature of the job.
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#6 - Jobs & Job Analysis
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Performance standards
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Indicators of what the job accomplishes and how performance is measured in key areas of the job description.
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#6 - Jobs & Job Analysis
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Person/job fit
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Matching characteristics of people with characteristics of jobs.
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#6 - Jobs & Job Analysis
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Responsibilities
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Obligations to perform certain tasks and duties.
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#6 - Jobs & Job Analysis
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Self-directed team
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Organizational team composed of individuals who are assigned a cluster of tasks, duties and responsibilities to be accomplished.
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#6 - Jobs & Job Analysis
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Skill variety
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Extent to which the work requires several different activities for successful completion.
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#6 - Jobs & Job Analysis
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Special-purpose team
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Organizational team formed to address specific problems, improve work processes, and enhance product and service quality.
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#6 - Jobs & Job Analysis
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Task
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Distinct, identifiable work activity composed of motions.
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#6 - Jobs & Job Analysis
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Task identity
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Extent to which the job includes a “whole” identifiable unit of work that is carried out from start to finish and that results in a visible outcome.
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#6 - Jobs & Job Analysis
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Task significance
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Impact the job has on other people.
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#6 - Jobs & Job Analysis
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Virtual team
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Organizational team composed of individuals who are geographically separated but linked by communications technology.
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#6 - Jobs & Job Analysis
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Work
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Effort directed toward accomplishing results.
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#6 - Jobs & Job Analysis
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Workflow analysis
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Study of the way work (inputs, activities, and outputs) moves through an organization.
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#6 - Jobs & Job Analysis
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Acceptance rate
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Percent of applicants hired divided by total number of applicants.
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#7 - Recruiting in Labor Markets
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Applicant pool
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All persons who are actually evaluated for selection.
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#7 - Recruiting in Labor Markets
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Applicant population
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A subset of the labor force population that is available for selection using a particular recruiting approach.
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#7 - Recruiting in Labor Markets
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Flexible staffing
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Use of workers who are not traditional employees.
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#7 - Recruiting in Labor Markets
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Independent contractors
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Workers who perform specific services on a contract basis.
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#7 - Recruiting in Labor Markets
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Job posting
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System in which the employer provides notices of job openings and employees respond by applying.
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#7 - Recruiting in Labor Markets
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Labor force population
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All individuals who are available for selection if all possible recruitment strategies are used.
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#7 - Recruiting in Labor Markets
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Labor markets
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External supply pool from which organizations attract employees.
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#7 - Recruiting in Labor Markets
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Recruiting
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Process of generating a pool of qualified applicants for organizational jobs.
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#7 - Recruiting in Labor Markets
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Selection rate
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Percentage hired from a given group of candidates.
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#7 - Recruiting in Labor Markets
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Yield ratios
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Comparisons of the number of applicants at one stage of the recruiting process with the number at the next stage.
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#7 - Recruiting in Labor Markets
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Behavioral interview
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Interview in which applicants give specific examples of how they have performed a certain task or handled a problem in the past.
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#8 - Selecting & Placing Human Resources
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Cognitive ability tests
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Tests that measure an individual’s thinking, memory, reasoning, verbal, and mathematical abilities.
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#8 - Selecting & Placing Human Resources
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Expatriate
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Citizen of one country who is working in a second country and employed by an organization headquartered in the first country.
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#8 - Selecting & Placing Human Resources
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Host-country national
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Citizen of one country who is working in that country and employed by an organization headquartered in a second country.
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#8 - Selecting & Placing Human Resources
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Negligent hiring
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Occurs when an employer fails to check an employee’s background and the employee injures someone.
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#8 - Selecting & Placing Human Resources
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Negligent retention
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Occurs when an employer becomes aware that an employee may be unfit for employment, continues to employ the person, and the person injures someone.
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#8 - Selecting & Placing Human Resources
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Non-directive interview
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Interview that uses questions developed from the answers to previous questions.
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#8 - Selecting & Placing Human Resources
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Panel interview
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Interview in which several interviewers meet with the candidate at the same time.
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#8 - Selecting & Placing Human Resources
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Person-organization fit
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The congruence between individuals and organizational factors.
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#8 - Selecting & Placing Human Resources
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Person/job fit
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Matching the KSAs of people with the characteristics of jobs.
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#8 - Selecting & Placing Human Resources
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Physical ability tests
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Tests that measure an individual’s abilities such as strength, endurance, and muscular movement.
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#8 - Selecting & Placing Human Resources
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Placement
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Fitting a person to the right job.
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#8 - Selecting & Placing Human Resources
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Predictors
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Measurable or visible indicators of a selection criterion.
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#8 - Selecting & Placing Human Resources
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Psychomotor tests
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Tests that measure dexterity, hand-eye coordination, arm-hand steadiness, and other factors.
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#8 - Selecting & Placing Human Resources
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Realistic job preview (RJP)
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Process through which a job applicant receives an accurate picture of a job.
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#8 - Selecting & Placing Human Resources
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Selection
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Process of choosing individuals with qualifications needed to fill jobs in an organization.
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#8 - Selecting & Placing Human Resources
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Selection criterion
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Characteristic that a person must have to do a job successfully.
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#8 - Selecting & Placing Human Resources
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Situational interview
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Structured interview composed of questions about how applicants might handle specific job situations.
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#8 - Selecting & Placing Human Resources
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Situational judgment tests
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Tests that measure a person’s judgment in work settings.
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#8 - Selecting & Placing Human Resources
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Stress interview
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Interview designed to create anxiety and put pressure on applicants to see how they respond.
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#8 - Selecting & Placing Human Resources
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Structured interview
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Interview that uses a set of standardized questions asked of all job applicants.
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#8 - Selecting & Placing Human Resources
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Team interview
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Interview in which applicants are interviewed by the team members with whom they will work.
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#8 - Selecting & Placing Human Resources
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Third-country national
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Citizen of one country who is working in a second country and employed by an organization headquartered in a third country.
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#8 - Selecting & Placing Human Resources
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Work sample tests
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Tests that require an applicant to perform a simulated job task.
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#8 - Selecting & Placing Human Resources
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Active practice
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Performance of job-related tasks and duties by trainees during training.
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#9 - Training Human Resources
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Behavior modeling
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Copying someone else’s behavior.
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#9 - Training Human Resources
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Cost-benefit analysis
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Comparison of costs and benefits associated with training.
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#9 - Training Human Resources
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Cross training
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Training people to do more than one job.
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#9 - Training Human Resources
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E-learning
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Use of the Internet or an organizational intranet to conduct training on-line.
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#9 - Training Human Resources
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Immediate confirmation
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Based on the idea that people learn best if reinforcement and feedback are given after training.
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#9 - Training Human Resources
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Informal training
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Training that occurs through interactions and feedback among employees.
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#9 - Training Human Resources
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Knowledge management
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The way an organization identifies and leverages knowledge in order to be competitive.
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#9 - Training Human Resources
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Massed practice
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Practice performed all at once.
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#9 - Training Human Resources
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Orientation
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Planned introduction of new employees to their jobs, co-workers, and the organization.
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#9 - Training Human Resources
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Performance consulting
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Process in which a trainer and the organizational client work together to determine what needs to be done to improve results.
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#9 - Training Human Resources
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Reinforcement
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Based on the idea that people tend to repeat responses that give them some type of positive reward and avoid actions associated with negative consequences.
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#9 - Training Human Resources
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Self-efficacy
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Person’s belief that he or she can successfully learn the training program content.
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#9 - Training Human Resources
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Spaced practice
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Practice performed in several sessions spaced over a period of hours or days.
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#9 - Training Human Resources
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Training
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Process whereby people acquire capabilities to perform jobs.
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#9 - Training Human Resources
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Assessment centers
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Collections of instruments and exercises designed to diagnose individuals’ development needs.
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#10 - Career Management & HR Development
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Career
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Series of work-related positions a person occupies throughout life.
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#10 - Career Management & HR Development
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Career paths
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Represent employees’ movements through opportunities over time.
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#10 - Career Management & HR Development
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Coaching
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Training and feedback given to employees by immediate supervisors.
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#10 - Career Management & HR Development
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Development
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Efforts to improve employees’ abilities to handle a variety of assignments and to cultivate employees’ capabilities beyond those required by the current job.
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#10 - Career Management & HR Development
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Dual-career ladder
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System that allows a person to advance up either a management ladder or a corresponding ladder on the technical/professional side of a career.
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#10 - Career Management & HR Development
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Encapsulated development
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Situation in which an individual learns new methods and ideas in a development course and returns to a work unit that is still bound by old attitudes and methods.
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#10 - Career Management & HR Development
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Individual-centered career planning
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Career planning focusing on an individual’s career rather than on organizational needs.
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#10 - Career Management & HR Development
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Job rotation
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Process of shifting a person from job to job.
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#10 - Career Management & HR Development
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Management mentoring
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Relationship in which experienced managers aid individuals in the earlier stages of their careers.
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#10 - Career Management & HR Development
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Organization-centered career planning
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Career planning that focuses on identifying career paths that provide for the logical progression of people between jobs in an organization.
|
#10 - Career Management & HR Development
|
|
|
Repatriation
|
Planning, training, and reassignment of global employees to their home countries.
|
#10 - Career Management & HR Development
|
|
|
Sabbatical
|
Paid time off the job to develop and rejuvenate oneself.
|
#10 - Career Management & HR Development
|
|
|
Simulation
|
Technique that requires participants to analyze a situation and decide the best course of action according to data given.
|
#10 - Career Management & HR Development
|
|
|
Succession planning
|
Process of identifying a longer-term plan for the orderly replacement of key employees.
|
#10 - Career Management & HR Development
|
|
|
Central tendency error
|
Occurs when a rater gives all employees a score within a narrow range in the middle of the scale.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Contrast error
|
Tendency to rate people relative to others rather than against performance standards.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Forced distribution
|
Performance appraisal method in which ratings of employees’ performance are distributed along a bell-shaped curve.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Graphic rating scale
|
Scale that allows the rater to mark an employee’s performance on a continuum.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Halo effect
|
Occurs when a rater scores an employee high on all job criteria because of performance in one area.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Job criteria
|
Important elements in a given job.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Leniency error
|
Occurs when ratings of all employees fall at the high end of the scale.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Management by objectives (MBO)
|
Performance appraisal method that specifies the performance goals that an individual and manager mutually identify.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Performance appraisal
|
Process of evaluating how well employees perform their jobs and then communicating that information to the employees.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Performance management
|
Composed of the processes used to identify, measure, communicate, develop, and reward employee performance.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Primacy effect
|
Occurs when a rater gives greater weight to information received first when appraising an individual’s performance.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Ranking
|
Performance appraisal method in which all employees are listed from highest to lowest in performance.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Rater bias
|
Occurs when a rater’s values or prejudices distort the rating.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Recency effect
|
Occurs when a rater gives greater weight to recent events when appraising an individual’s performance.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Strictness error
|
Occurs when ratings of all employees fall at the low end of the scale.
|
#11 - Performance Mgmt & Appraisal
|
|
|
Balance-sheet approach
|
Compensation plan that equalizes cost differences between identical international and home-country assignments.
|
#12 - Compensation Strategies & Practices
|
|
|
Base pay
|
Basic compensation that an employee receives, usually as a wage or a salary.
|
#12 - Compensation Strategies & Practices
|
|
|
Benchmark jobs
|
Jobs found in many organizations.
|
#12 - Compensation Strategies & Practices
|
|
|
Benefit
|
Indirect reward given to an employee or a group of employees for organizational membership.
|
#12 - Compensation Strategies & Practices
|
|
|
Broadbanding
|
Practice of using fewer pay grades with much broader ranges than in traditional compensation systems.
|
#12 - Compensation Strategies & Practices
|
|
|
Compa-ratio
|
Pay level divided by the midpoint of the pay range.
|
#12 - Compensation Strategies & Practices
|
|
|
Compensable factor
|
Factor that identifies a job value commonly present throughout a group of jobs.
|
#12 - Compensation Strategies & Practices
|
|
|
Compensatory time off
|
Hours given to an employee in lieu of payment for extra time worked.
|
#12 - Compensation Strategies & Practices
|
|
|
Competency-based pay
|
Rewards individuals for the capabilities they demonstrate and acquire.
|
#12 - Compensation Strategies & Practices
|
|
|
Distributive justice
|
Perceived fairness in the distribution of outcomes.
|
#12 - Compensation Strategies & Practices
|
|
|
Entitlement philosophy
|
Assumes that individuals who have worked another year are entitled to pay increases, with little regard for performance differences.
|
#12 - Compensation Strategies & Practices
|
|
|
Equity
|
Perceived fairness between what a person does and what the person receives.
|
#12 - Compensation Strategies & Practices
|
|
|
Exempt employees
|
Employees to whom employers are not required to pay overtime under the Fair Labor Standards Act.
|
#12 - Compensation Strategies & Practices
|
|
|
Garnishment
|
A court action in which a portion of an employee’s wages is set aside to pay a debt owed a creditor.
|
#12 - Compensation Strategies & Practices
|
|
|
Global market approach
|
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.
|
#12 - Compensation Strategies & Practices
|
|
|
Green-circled employee
|
Incumbent who is paid below the range set for the job.
|
#12 - Compensation Strategies & Practices
|
|
|
Job evaluation
|
Formal, systematic means to identify the relative worth of jobs within an organization.
|
#12 - Compensation Strategies & Practices
|
|
|
Job family
|
Group of jobs having common organizational characteristics.
|
#12 - Compensation Strategies & Practices
|
|
|
Living wage
|
One that is supposed to meet the basic needs of a worker’s family.
|
#12 - Compensation Strategies & Practices
|
|
|
Lump-sum increase (LSI)
|
One-time payment of all or part of a yearly pay increase.
|
#12 - Compensation Strategies & Practices
|
|
|
Market banding
|
Grouping jobs into pay grades based on similar market survey amounts.
|
#12 - Compensation Strategies & Practices
|
|
|
Market line
|
Graph line that shows the relationship between job value as determined by job evaluation points and job value as determined by pay survey rates.
|
#12 - Compensation Strategies & Practices
|
|
|
Market pricing
|
Use of pay survey data to identify the relative value of jobs based on what other employers pay for similar jobs.
|
#12 - Compensation Strategies & Practices
|
|
|
Non-exempt employees
|
Employees who must be paid overtime under the Fair Labor Standards Act.
|
#12 - Compensation Strategies & Practices
|
|
|
Pay compression
|
Occurs when the pay differences among individuals with different levels of experience and performance become small.
|
#12 - Compensation Strategies & Practices
|
|
|
Pay equity
|
Similarity in pay for all jobs requiring comparable knowledge, skills, and abilities, even if actual duties and market rates differ significantly.
|
#12 - Compensation Strategies & Practices
|
|
|
Pay grades
|
Groupings of individual jobs having approximately the same job worth.
|
#12 - Compensation Strategies & Practices
|
|
|
Pay survey
|
Collection of data on compensation rates for workers performing similar jobs in other organizations.
|
#12 - Compensation Strategies & Practices
|
|
|
Pay-for-performance philosophy
|
Requires that compensation changes reflect individual performance differences.
|
#12 - Compensation Strategies & Practices
|
|
|
Procedural justice
|
Perceived fairness of the process and procedures used to make decisions about employees.
|
#12 - Compensation Strategies & Practices
|
|
|
Red-circled employee
|
Incumbent who is paid above the range set for the job.
|
#12 - Compensation Strategies & Practices
|
|
|
Salaries
|
Consistent payments made each period regardless of the number of hours worked.
|
#12 - Compensation Strategies & Practices
|
|
|
Seniority
|
Time spent in the organization or on a particular job.
|
#12 - Compensation Strategies & Practices
|
|
|
Tax equalization plan
|
Compensation plan used to protect expatriates from negative tax consequences.
|
#12 - Compensation Strategies & Practices
|
|
|
Variable pay
|
Compensation linked directly to individual, team, or organizational performance.
|
#12 - Compensation Strategies & Practices
|
|
|
Wages
|
Payments directly calculated on the amount of time worked.
|
#12 - Compensation Strategies & Practices
|
|
|
Bonus
|
One-time payment that does not become part of the employee’s base pay.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Commission
|
Compensation computed as a percentage of sales in units or dollars.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Compensation committee
|
Subgroup of the board of directors, composed of directors who are not officers of the firm.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Draw
|
Amount advanced from and repaid to future commissions earned by the employee.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Employee stock ownership plan (ESOP)
|
Plan whereby employees have significant stock ownership in their employers.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Gainsharing
|
System of sharing with employees greater-than-expected gains in profits and/or productivity.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Perquisites (perks)
|
Special benefits—usually non-cash items—for executives.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Profit sharing
|
System to distribute a portion of the profits of the organization to employees.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Stock option plan
|
Plan that gives employees the right to purchase a fixed number of shares of company stock at a specified price for a limited period of time.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Straight piece-rate system
|
Pay system in which wages are determined by multiplying the number of units produced by the piece rate for one unit.
|
#13 - Variable Pay & Executive Compensation
|
|
|
Variable pay
|
Compensation linked to individual, group/team, and/or organizational performance.
|
#13 - Variable Pay & Executive Compensation
|
|
|
401(k) plan
|
Agreement in which a percentage of an employee’s pay is withheld and invested in a tax-deferred account.
|
#14 - Managing Employee Benefits
|
|
|
Adverse selection
|
Situation in which only higher-risk employees select and use certain benefits.
|
#14 - Managing Employee Benefits
|
|
|
Benefit
|
Indirect reward given to an employee or a group of employees for organizational membership.
|
#14 - Managing Employee Benefits
|
|
|
Cash balance plan
|
Retirement program in which benefits are based on an accumulation of annual company contributions, expressed as a percentage of pay, plus interest credited each year.
|
#14 - Managing Employee Benefits
|
|
|
Co-payment
|
Strategy requiring employees to pay a portion of the cost of insurance premiums, medical care, and prescription drugs.
|
#14 - Managing Employee Benefits
|
|
|
Consumer-driven health (CDH) plan
|
One that provides employer financial contributions to employees to cover their own health-related expenses.
|
#14 - Managing Employee Benefits
|
|
|
Contributory plan
|
Pension plan in which the money for pension benefits is paid in by both employees and employers.
|
#14 - Managing Employee Benefits
|
|
|
Defined-benefit plan
|
Retirement program in which an employee is promised a pension amount based on age and service.
|
#14 - Managing Employee Benefits
|
|
|
Defined-contribution plan
|
Retirement program in which the employer makes an annual payment to an employee’s pension account.
|
#14 - Managing Employee Benefits
|
|
|
Flexible benefits plan
|
Program that allows employees to select the benefits they prefer from groups of benefits established by the employer.
|
#14 - Managing Employee Benefits
|
|
|
Flexible spending accounts
|
Benefits plans that allow employees to contribute pre-tax dollars to buy certain additional benefits.
|
#14 - Managing Employee Benefits
|
|
|
Health maintenance organization (HMO)
|
Plan that provides services for a fixed period on a pre-paid basis.
|
#14 - Managing Employee Benefits
|
|
|
Managed care
|
Approaches that monitor and reduce medical costs through restrictions and market system alternatives.
|
#14 - Managing Employee Benefits
|
|
|
Non-contributory plan
|
Pension plan in which all the funds for pension benefits are provided by the employer.
|
#14 - Managing Employee Benefits
|
|
|
Paid-time-off (PTO) plans
|
Plans that combine all sick leave, vacation time, and holidays into a total number of hours or days that employees can take off with pay.
|
#14 - Managing Employee Benefits
|
|
|
Pension plan
|
Retirement program established and funded by the employer and employees.
|
#14 - Managing Employee Benefits
|
|
|
Portability
|
A pension plan feature that allows employees to move their pension benefits from one employer to another.
|
#14 - Managing Employee Benefits
|
|
|
Preferred provider organization (PPO)
|
A health-care provider that contracts with an employer group to supply health-care services to employees at a competitive rate.
|
#14 - Managing Employee Benefits
|
|
|
Serious health condition
|
One requiring in-patient, hospital, hospice, or residential medical care or continuing physician care.
|
#14 - Managing Employee Benefits
|
|
|
Severance pay
|
Security benefit voluntarily offered by employers to employees who lose their jobs.
|
#14 - Managing Employee Benefits
|
|
|
Stock purchase plan
|
Plan in which the corporation provides matching funds equal to the amount invested by the employee for the purchase of stock in the company.
|
#14 - Managing Employee Benefits
|
|
|
Utilization review
|
Audit of the services and costs billed by health-care providers.
|
#14 - Managing Employee Benefits
|
|
|
Vesting
|
Right of employees to receive certain benefits from their pension plans.
|
#14 - Managing Employee Benefits
|
|
|
Well-pay
|
Extra pay for not taking sick leave.
|
#14 - Managing Employee Benefits
|
|
|
Workers’ compensation
|
Security benefits provided to persons injured on the job.
|
#14 - Managing Employee Benefits
|
|
|
Cumulative trauma disorders (CTDs)
|
Muscle and skeletal injuries that occur when workers repetitively use the same muscles to perform tasks.
|
#15 - Health, Safety & Security
|
|
|
Employee assistance program (EAP)
|
Program that provides counseling and other help to employees having emotional, physical, or other personal problems.
|
#15 - Health, Safety & Security
|
|
|
Ergonomics
|
Study and design of the work environment to address physiological and physical demands on individuals.
|
#15 - Health, Safety & Security
|
|
|
Health
|
General state of physical, mental, and emotional well-being.
|
#15 - Health, Safety & Security
|
|
|
Health promotion
|
Supportive approach of facilitating and encouraging healthy actions and lifestyles among employees.
|
#15 - Health, Safety & Security
|
|
|
Lock out / tag out regulations
|
Requirements that locks and tags be used to make equipment inoperative for repair or adjustment.
|
#15 - Health, Safety & Security
|
|
|
Safety
|
Condition in which the physical well-being of people is protected.
|
#15 - Health, Safety & Security
|
|
|
Security
|
Protection of employees and organizational facilities.
|
#15 - Health, Safety & Security
|
|
|
Security audit
|
Comprehensive review of organizational security.
|
#15 - Health, Safety & Security
|
|
|
Substance abuse
|
Use of illicit substances or misuse of controlled substances, alcohol, or other drugs.
|
#15 - Health, Safety & Security
|
|
|
Wellness programs
|
Programs designed to maintain or improve employee health before problems arise.
|
#15 - Health, Safety & Security
|
|
|
Arbitration
|
Process that uses a neutral third party to make a decision.
|
#16 - Employee Rights & Discipline
|
|
|
Constructive discharge
|
Deliberately making conditions intolerable to get an employee to quit.
|
#16 - Employee Rights & Discipline
|
|
|
Contractual rights
|
Rights based on a specific contract between an employer and an employee.
|
#16 - Employee Rights & Discipline
|
|
|
Discipline
|
Form of training that enforces organizational rules.
|
#16 - Employee Rights & Discipline
|
|
|
Distributive justice
|
Perceived fairness in the distribution of outcomes.
|
#16 - Employee Rights & Discipline
|
|
|
Due process
|
Requirement that the employer use fair means to determine employee wrongdoing and/or disciplinary measures, and that the employee have an opportunity to explain and defend his or her actions.
|
#16 - Employee Rights & Discipline
|
|
|
Employment contract
|
Agreement that formally outlines the details of employment.
|
#16 - Employee Rights & Discipline
|
|
|
Employment-at-will (EAW)
|
Common-law doctrine stating that employers have the right to hire, fire, demote, or promote whomever they choose, unless there is a law or a contract to the contrary.
|
#16 - Employee Rights & Discipline
|
|
|
Just cause
|
Reasonable justification for taking employment-related action.
|
#16 - Employee Rights & Discipline
|
|
|
Non-compete agreements
|
Agreements that prohibit individuals who leave the organization from competing with an employer in the same line of business for a specified period of time.
|
#16 - Employee Rights & Discipline
|
|
|
Policies
|
General guidelines that focus organizational actions.
|
#16 - Employee Rights & Discipline
|
|
|
Procedural justice
|
Perceived fairness of the processes used to make decisions about employees.
|
#16 - Employee Rights & Discipline
|
|
|
Procedures
|
Customary methods of handling activities.
|
#16 - Employee Rights & Discipline
|
|
|
Responsibilities
|
Obligations to perform certain tasks and duties.
|
#16 - Employee Rights & Discipline
|
|
|
Right to privacy
|
An individual’s freedom from unauthorized and unreasonable intrusion into their personal affairs.
|
#16 - Employee Rights & Discipline
|
|
|
Rights
|
Powers, privileges, or interests that belong to a person by law, nature, or tradition.
|
#16 - Employee Rights & Discipline
|
|
|
Rules
|
Specific guidelines that regulate and restrict the behavior of individuals.
|
#16 - Employee Rights & Discipline
|
|
|
Separation agreement
|
Agreement in which a terminated employee agrees not to sue the employer, in exchange for specified benefits.
|
#16 - Employee Rights & Discipline
|
|
|
Statutory rights
|
Rights based on laws or statutes.
|
#16 - Employee Rights & Discipline
|
|
|
Whistle-blowers
|
Individuals who report real or perceived wrongs committed by their employers.
|
#16 - Employee Rights & Discipline
|
|
|
Wrongful discharge
|
Termination of an individual’s employment for reasons that are improper or illegal.
|
#16 - Employee Rights & Discipline
|
|
|
Arbitration
|
Process that uses a neutral third party to make a decision.
|
#17 - Union-Management Relations
|
|
|
Bargaining unit
|
Employees eligible to select a single union to represent and bargain collectively for them.
|
#17 - Union-Management Relations
|
|
|
Business agent
|
Full-time union official who operates the union office and assists union members.
|
#17 - Union-Management Relations
|
|
|
Closed shop
|
Firm that requires individuals to join a union before they can be hired.
|
#17 - Union-Management Relations
|
|
|
Co-determination
|
Practice whereby union or worker representatives are given positions on a company’s board of directors.
|
#17 - Union-Management Relations
|
|
|
Collective bargaining
|
Process whereby representatives of management and workers negotiate over wages, hours, and other terms and conditions of employment.
|
#17 - Union-Management Relations
|
|
|
Complaint
|
Indication of employee dissatisfaction.
|
#17 - Union-Management Relations
|
|
|
Conciliation
|
Process by which a third party attempts to keep union and management negotiators talking so that they can reach a voluntary settlement.
|
#17 - Union-Management Relations
|
|
|
Craft union
|
One whose members do one type of work, often using specialized skills and training.
|
#17 - Union-Management Relations
|
|
|
Decertification
|
Process whereby a union is removed as the representative of a group of employees.
|
#17 - Union-Management Relations
|
|
|
Federation
|
Group of autonomous national and international unions.
|
#17 - Union-Management Relations
|
|
|
Grievance
|
Complaint formally stated in writing.
|
#17 - Union-Management Relations
|
|
|
Grievance arbitration
|
Means by which a third party settles disputes arising from different interpretations of a labor contract.
|
#17 - Union-Management Relations
|
|
|
Grievance procedures
|
Formal channels of communication used to resolve grievances.
|
#17 - Union-Management Relations
|
|
|
Illegal issues
|
Collective bargaining issues that would require either party to take illegal action.
|
#17 - Union-Management Relations
|
|
|
Industrial union
|
One that includes many persons working in the same industry or company, regardless of jobs held.
|
#17 - Union-Management Relations
|
|
|
Lockout
|
Shutdown of company operations undertaken by management to prevent union members from working.
|
#17 - Union-Management Relations
|
|
|
Management rights
|
Rights reserved so that the employer can manage, direct, and control its business.
|
#17 - Union-Management Relations
|
|
|
Mandatory issues
|
Collective bargaining issues identified specifically by labor laws or court decisions as subject to bargaining.
|
#17 - Union-Management Relations
|
|
|
Mediation
|
Process by which a third party helps the negotiators reach a settlement.
|
#17 - Union-Management Relations
|
|
|
National emergency strike
|
Strike that would impact the national economy significantly.
|
#17 - Union-Management Relations
|
|
|
Open shop
|
Workers are not required to join or pay dues to a union.
|
#17 - Union-Management Relations
|
|
|
Permissive issues
|
Collective bargaining issues that are not mandatory and relate to certain jobs.
|
#17 - Union-Management Relations
|
|
|
Ratification
|
Process by which union members vote to accept the terms of a negotiated labor agreement.
|
#17 - Union-Management Relations
|
|
|
Right-to-work laws
|
State laws that prohibit requiring employees to join unions as a condition of obtaining or continuing employment.
|
#17 - Union-Management Relations
|
|
|
Salting
|
Practice in which unions hire and pay people to apply for jobs at certain companies.
|
#17 - Union-Management Relations
|
|
|
Strike
|
Work stoppage in which union members refuse to work in order to put pressure on an employer.
|
#17 - Union-Management Relations
|
|
|
Union
|
Formal association of workers that promotes the interests of its members through collective action.
|
#17 - Union-Management Relations
|
|
|
Union authorization card
|
Card signed by an employee to designate a union as her or his collective bargaining agent.
|
#17 - Union-Management Relations
|
|
|
Union security provisions
|
Contract clauses to help the union obtain and retain members.
|
#17 - Union-Management Relations
|
|
|
Union steward
|
Employee elected to serve as the first-line representative of unionized workers.
|
#17 - Union-Management Relations
|
