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Which of the following statements about team pay is the most accurate?


A) Most managers are very satisfied with the team-based pay programs that are currently in place.
B) Most managers have concluded that team pay methods are so complex and difficult to administer that they have gone back to pay plans based on rewarding workers for their individual achievements.
C) Although individuals who make an outstanding contribution should be recognized and rewarded, a pay system based strictly on individual performance can undermine the cohesiveness teams need to meet their goals.
D) Team pay plans should emphasize individual rewards since the team can succeed only if all individuals are highly motivated to work as hard as possible.

E) All of the above
F) None of the above

Correct Answer

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Today, human resource management is viewed as a clerical function of keeping personnel records and processing payroll.

A) True
B) False

Correct Answer

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The Equal Employment Opportunity Act gave the Equal Employment Opportunity Commission the authority to:


A) prevent firms from firing workers based on union affiliation.
B) issue guidelines for employer conduct in administering equal employment opportunity programs.
C) set salary schedules for protected groups.
D) require firms to pay women and minority workers more than white males for the same work.

E) All of the above
F) B) and C)

Correct Answer

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Some firms have found that employees prefer cafeteria-style benefit plans. For these plans, the employees vote on the benefits that they prefer, and only those benefits receiving the highest votes are offered to employees.

A) True
B) False

Correct Answer

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Sonny Skies is in his late fifties and loves his work as a pilot for a major airline. He wants to continue working for many more years. The Age Discrimination in Employment Act provides Sonny with the right to keep his job as long as his company is financially sound and he does not commit a felony.

A) True
B) False

Correct Answer

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The Civil Rights Act of 1991 gave victims of discrimination the right to seek punitive damages from the firms that discriminated against them.

A) True
B) False

Correct Answer

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As a project manager for a large construction company, Kevin decided to make the performance appraisal process as painless as possible for his crew. He spent a considerable amount of time creating performance standards he felt were reasonable, and after six months' time, he scheduled individual appointments with each worker to discuss strengths and weaknesses and areas that needed improvement according to the standards he privately set. Some employees were sent to vestibule training, and one even got a promotion with additional compensation. What did Kevin fail to do correctly?


A) Provide a pleasant environment for the appraisal such as a restaurant setting.
B) Dismiss at least 10% of the work crew.
C) Copy the HR department on all the results, within 24 hours of each appraisal.
D) Communicate the performance standards to the employees so they know what is expected.

E) None of the above
F) A) and D)

Correct Answer

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According to the Reaching Beyond Our Borders box, companies must consider a number of compensation-related issues for employees who work abroad. These may include currency conversion issues, special concessions such as travel and housing allowances, differences in health care standards in different countries, and even vacation benefits.

A) True
B) False

Correct Answer

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Expenditures on fringe benefits have declined as a percentage of total payroll costs over the past several decades.

A) True
B) False

Correct Answer

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When it comes to human resource management issues, the federal government generally has taken a "hands off" approach since the early 1960s.

A) True
B) False

Correct Answer

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Recent federal law clearly and strongly supports the notion that companies must use strict employment quotas to correct for past discriminatory actions.

A) True
B) False

Correct Answer

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New technologies are assisting off-the-job training and creating more cost-effective methods for on-the-job training, when the job requires learning more intricate skills.

A) True
B) False

Correct Answer

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Employers must verify that employment candidates are eligible to work in the U.S. as mandated by the:


A) Manpower Development and Training Act
B) Civil Rights Act of 1991
C) Immigration Reform and Control Act
D) Occupational Safety and Health Act

E) A) and B)
F) B) and C)

Correct Answer

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Two advantages of using ___________ to fill open positions are: (1) it improves the morale of current employees, and (2) the person filling the position is already familiar with the organization's culture and procedures.


A) unskilled workers
B) apprenticed workers
C) promotions from within
D) external sources

E) B) and D)
F) B) and C)

Correct Answer

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Job applications can ask about educational background and past job experience.

A) True
B) False

Correct Answer

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According to the Spotlight on Small Business box, small businesses usually find recruitment easier than large firms.

A) True
B) False

Correct Answer

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Most firms have trouble implementing the structural changes required by the Americans with Disabilities Act.

A) True
B) False

Correct Answer

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In a(n) ______________ an inexperienced worker learns by working alongside an experienced employee to master the skills and procedures of a craft.


A) orientation period
B) simulation period
C) indentureship program
D) apprenticeship program

E) A) and C)
F) B) and D)

Correct Answer

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Establishing performance standards is a crucial step in the performance evaluation process.

A) True
B) False

Correct Answer

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The doctrine of employment at will means that employees must be allowed to keep their jobs as long as they are willing and able to perform their required duties. Under this doctrine, employers can only fire or lay off an employee if the firm is in serious financial difficulty or the employee is grossly incompetent or has committed a felony.

A) True
B) False

Correct Answer

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