Human Resources Final Exam

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What is Occupational Safety and Health Administration (OSHA) responsible for:

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1.) Inspecting employers
2.) Applying safety and health standards
3.) Levying fines for violations
4.) Conducting research (NIOSH)

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OSHA is:

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Is the most comprehensive U.S. law regarding worker safety.

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Recruiting consists of any practice or activity carried on by the organization with the primary purpose of identifying and attracting potential employees. The ability to locate, attract, and have available when needed, an adequate but appropriate number (supply) of qualified individuals, who are a good match for the job and the overall organization and to accomplish this at the least possible expense.

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Recruiting

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Permits a high score in one area to make up for a low score in another area.

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Compensatory Model

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Requires an applicant to achieve a minimum level of proficiency on all selection dimensions.

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Multiple Cutoff Model

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Only applicants with sufficiently high scores at each selection stage go on to subsequent stages in the selection process.

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Multiple Hurdle Model

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An organization’s planned efforts to help employees acquire job-related knowledge, skills, abilities, and behaviors, with the goal of applying these on the job (Text).

Effort initiated by an organization to foster learning among its members.

A process whereby people acquire capabilities to aid in the achievement of organizational goals.
Tends to be narrowly focused and oriented toward short-term performance concerns.

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Training

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U.S. law authorizing the federal government to establish and enforce occupational safety and health standards for all places of employment engaging in interstate commerce.

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Occupational Safety and Health Act of 1970

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Why was OSHA established?

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By 1970, roughly 15,000 work-related fatalities occurred every year.

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Develop health and safety standards and regulations. Enforcing the health and safety regulations. OSHA inspectors conduct thorough inspections and identify violations and state a time by which the employer must correct the situation.

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OSHA’s Primary Tasks

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Summary of work-related injuries and illnesses
Must be posted where employees can see it

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Form300-A

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Incident report: details specifics about incident

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Form 301

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Any occupational death, illness, or injury to be recorded in the log.

Provide employee access to Log.

Employers with 11 or more employees must maintain form _____?

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Form 300

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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.

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Willful

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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.

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Serious

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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.

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Other-Than- Serious

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Documents that contain vital information about hazardous substances.

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MSDS

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Any occupational death, illness, or injury to be recorded in the log (OSHA Form 300).
Recordable accidents include: death, days away from work, restricted work or transfer to another job, or medical treatment beyond first aid.
Other problems include loss of consciousness or diagnosis of a significant injury or illness by a healthcare professional.
Employers with 11 or more employees must maintain form 300
Form 301: incident report: details specifics about incident
Form300-A: Summary of work-related injuries and illnesses

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Recordable Case

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Documents work-related injuries and illnesses

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OSHA’s Form 300 A

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An OSHA inspection typically has four components:

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Compliance officer review of records
Tour of the premises
Employee interviews
Closing conference to discuss findings and note violations

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________ involves deliberate, hurtful and repeated mistreatment of a target. It is often involves subtle types of aggression.

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Bullying

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Establishes a minimum wage and requirements for overtime pay and child labor. For overtime, the act states that indicates that employees must be compensated by wages that equal one and a half times the usual hourly rate for hours worked beyond 40 per week.

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The Fair Labor Standards Act of 1938

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Employers are not required to pay overtime; typically includes managers, outside salespeople

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Exempt employees

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Most workers paid on an hourly basis and are not in one of the exempt categories

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Nonexempt employees

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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.

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Job Evaluation

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Rate of pay for each unit produced.

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Piecework Rate

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Sets of jobs having similar worth or content, grouped together to establish rates of pay.

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Pay Grades

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Pay rate that falls above the pay range for the job.

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Red-circle rates

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Pay at a rate that falls below the pay range for the job.

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Green-circle rates

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Equity occurs when the _________ between different jobs within the organization are perceived as fair—neither too large nor too small.

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pay differentials

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An organizational policy prohibiting employees from revealing their compensation information to anyone.
Creates misperceptions and distrust of compensation fairness and pay-for-performance standards.

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Pay Secrecy

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________ is pay specifically designed to energize, direct, or control employees’ behavior.

Forms of pay linked to an employee's performance as an individual, group member, or organization member.

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Incentive pay

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An incentive plan that pays workers extra for work done in less than a preset “standard time.”

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Standard hour plans

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Incentive pay in which the pice rate is higher when a greater amount is produced. For example, assume the average number of pieces to produce is 100. Employees would get ‘X” amount for each piece up to 100 and then more for the each piece up to the next 50, and so on.

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Differential piece rates

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A system of linking pay increases to ratings on performance appraisals. This system means that the increase in pay the employee gets persists over time and, therefore, is expensive to employers. Because of this, many companies have turned to using bonuses…

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Merit Pay

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can be based on whatever the organization wants to incent; provides a lot of flexibility, and does not cost the company year after year because the bonuses have to be re-earned every year.

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Individual bonuses

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Incentive pay calculated as percentage of sales

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Straight commission plan

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Incentive pay in which the employer pays the same rate per piece, no matter how much the worker produces.

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Straight piecework plan

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Program under which employees receive a year-end merit payment, which is not added to their base pay.

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Lump-Sum Merit Pay

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Incentive pay in which the piece rate is higher when a greater amount is produced.

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Differential Piece Rates

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Incentive pay calculated as a percentage of sales

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Commissions

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Group incentive program that measures improvements in productivity and effectiveness and distributes a portion of each gain to employees.

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Gainsharing

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A gainsharing program in whcih employees receive a bonus if the ratio of labor costs to the sales value of production is below a set standard.

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Scanlon Plan

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A gainsharing program in which the ratio measuring the gain compares labor costs to the value added in production (output minus the cost of materials, supplies, and services)

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Rucker Plan

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A gainsharing program in which the gain is the decrease in the labor hours needed to produce one unit of product, with the gains split equally between the organization and its employees.

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Improshare

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Benefit plans that enable individual employees to choose the benefits that are best suited to their particular needs.

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Cafeteria Plans

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There is a trend toward providing flexible benefits plans, or cafeteria plans. Typi­cally, employees are offered a basic or core benefits package plus credits toward other benefits of their choice.

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Providing for Flexibility

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As social conditions change, employee benefits should be modified. Note that there is no longer a “typical” employee. Variety in life­styles demands a variety of benefits. Benefit programs are often customized to be family friendly.

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Benefits for a Diverse Workforce

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Before new benefits are introduced, employees should be consulted. Opinion surveys are useful and probably more objective than other methods.

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Allowing for Employee Involvement

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Employee benefits must be compatible with the phi­losophy and policies of the organization. Generally, the objectives of benefits are to improve employee morale, to meet employee health and security needs, to motivate employees, to attract good employees, to reduce turnover, to keep the union out, to maintain a favorable competitive position, and to enhance the organization’s image

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Strategic Benefits Planning

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Established a system providing old age, survivor’s, disability, and retirement benefits.
Federal payroll tax on both the employer and the employee.
Benefit payments are based on employee’s lifetime earnings.

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Social Security

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A federally mandated program to minimize the hardships of unemployment through payments to unemployed workers, help in finding new jobs, and incentives to stabilize employment.

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Workers Unemployment Insurance

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State programs that provide benefits to workers who suffer work-related injuries or illnesses, or to their survivors.

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Workers’ Compensation Insurance

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Hard to manage for employers because they need coverage and not sure what constitutes a legitimate reason.

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FMLA

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ERISA Requires

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Provide participants with plan information.
Provide fiduciary responsibility for those who manage/control plan assets.
Establish a grievance and appeals process.
Allows for the right to sue for benefits and breaches of fiduciary duty.

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Federal law that increased the responsibility of pension plan trustees to protect retirees, established certain rights related to vesting and portability, and created the Pension Benefit Guarantee Corporation

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ERISA

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This law extends employer-provided health care coverage to terminated employees for specified periods. Terminated employees, their spouses, or dependents will pay for health benefit costs at the rate the employer would pay for employed individuals. Employers are responsible for the administration of the extended benefits.

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COBRA

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Employees who leave an employer’s health plan cannot be denied access to another plan based on health status or preexisting conditions
Limits length of time required for covering pre-existing conditions for more than 12 months or 18 months for late enrollees)
Pre-existing conditions: one for which medical advice, diagnosis, care, or treatment was recommended or received during the 6-months prior to an individual’s enrollment date (DOL)
Counts periods of coverage under another form of comprehensive health coverage toward a pre-existing condition limit
Protects and regulates disclosure of health-related information

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4 Provisions

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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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Physicians who establish an organization that guarantees lower healthcare costs to the employer.
PPOs allow employees to select from a list of physicians (participating doctors) their doctor of choice.

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Preferred Provider Organization (PPO)

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Organizations must communicate benefits information to employees so they will appreciate the value of their benefits.
Communication is essential so that the benefits can achieve their objective of attracting, motivating, and retaining employees.
An investment of creativity in employee communication can reap great rewards in the form of committed, satisfied employees.

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Communicating Benefits

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Employers with 50 or more employees within a 75-mile radius

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Coverage for FMLA

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Employers must allow eligible employees to take up to a total of 12 weeks of unpaid leave to attend to a family or serious medical condition in any within a 12-month period.
Employees have the right to continued health benefits and the right to return to their job.

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Requirements for FMLA

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20+ employees the coverage must be offered for between 19-25 months depending on qualifying guidelines. Amendment to ERISA

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COBRA

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Pre-existing conditions one for which medical advice, diagnosis, care or treatment was recommended or received during the 6 months prior to Amendment to ERISA

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HIPAA

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Provide participants with plan information
Provide fiduciary responsibility for those who manage/control
PENSION AND RETIREMENT

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ERISA

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Any occupational death, days away from work, restricted work or transfer to another job, or medical treatment beyond first aid recorded in the log (OSHA Form 300)

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Recordable Case

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Employees who not covered in the overtime provisions of the Fair Labor Standards Act

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Exempt Employees

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Program under which employees receive a year end merit payment.

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Lump-Sum Merit Program

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It requires the employer to provide up to 12 weeks of unpaid job-protected

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Family and Medical Leave Act

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Collapses many traditional salary grades into a few wide salary bands

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Broadbanding

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It is concerned with the flow of people into, through, and out of an organization.

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HR Planning

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Rejection of a significantly higher percentage of protected class for employment or promotion when compared with the successful no protected class.

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Adverse Impact

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Outlaws discrimination in employment decisions base on a person’s age being over 40.

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Age Discrimination in Employment Act ADEA

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Supervisor providing immediate and regular feedback to employees regarding

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Coaching

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The systematic Process of gathering, analyzing and structuring information about a job’s components, characteristics and job requirements

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Job Analysis

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Allows employees to switch their health insurance plan from one….

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(HIPPA) of 1996

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the attempts to determine the supply of and demand for various types of human resources to predict areas within the organization where there will be labor shortages or surpluses.

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Forecasting

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The process of getting detailed information about jobs.

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Job Analysis

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A list of the tasks, duties, and responsibilities (TDRs) that a particular job entails.

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Job Description

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A list of knowledge, skills, abilities, and other characteristics (KSAOs) that an individual must have to perform a particular job.

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Job Specification

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A ratio that expresses the percentage of applicants who successfully move from one stage of the recruitment and selection process to the next.

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Yield Ratio

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Background information about a job's positive and negative qualities.

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Realistic Job Preview

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Process of arriving at a selection decision by eliminating some candidates at each stage of the selection process.

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Multiple - Hurdle Model

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Process of arriving at a selection decision in which a very high score on one type of assessment can make up for a low score on another.

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Compensatory Model

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The measurement of specified areas of an employee's performance.

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Performance Appraisal