HRM2

What are the two main components of employee compensation?

• Time-based pay and performance-based pay

• Hourly wages and monthly salaries

• Blue-collar workers and clerical workers

• Financial benefits and indirect payments

Which group of workers is mentioned as likely to receive hourly or daily wages

• Managers

• . Blue-collar and clerical workers

• Web designers

• Sales representatives

What ties compensation to the amount of production?

• Hourly wages

• Salaried payments

• Piecework

• Sales commissions

What is the primary consideration for designing a compensation plan?

• Employee preferences

• Industry standards

• Strategic aims of the firm

• Market competition

What is essential for a compensation package to achieve its intended purpose

• Employee satisfaction

• Clear "line of sight" to business goals

• Competitive market rates

• Equal distribution of rewards

Which of the following is mentioned as part of the total rewards strategy?

• Traditional pay only

• Benefits only

• Job design, career development, and recognition

• Incentives only

What is described as the reaction of capuchin monkeys who receive cucumber slices after seeing their peers receive grapes in exchange for trading pebbles?

• They happily eat the cucumber slices.

• They share the cucumber slices with their neighbors.

• They slam down the pebbles or refuse to eat.

• They trade their cucumber slices for grapes.

According to the equity theory of motivation, what motivates individuals when they perceive an inequity in their contributions and rewards?

• A. Satisfaction

• B. Complacency
  

• C. Tension or drive
  

• D. Indifference

  
  

What does external equity in compensation refer to?

• A. The fairness of an individual's pay compared to coworkers
  

• B. The perceived fairness of processes and procedures in pay allocation
  

• C. How a job's pay rate in one company compares to other companies
  

• D. How fair a job's pay rate is compared to other jobs within the same company

  
  

What is the primary focus of market-based approaches to setting pay rates?

• A. Assigning values to company jobs
  

• B. Comparing jobs in terms of effort and complexity
  

• C. Conducting salary surveys in relevant labor markets
  

• D. Establishing a formal job evaluation procedure