Market Rate Analysis Quiz

What is the primary aim of market rate analysis?

• To create a uniform pay structure across all organizations

• To eliminate all pay discrepancies

• To obtain relevant, accurate, and representative data on market rates

• To determine the exact salary for every job

Which of the following is NOT a factor affecting the validity and reliability of market rate data?

• Timing

• Job matching

• Sample frame

• Employee satisfaction

What is a common method used to evaluate jobs in market rate analysis?

• Job evaluation

• Job title comparison

• Job matching

• Job rotation

Which of the following is a disadvantage of published surveys?

• They are always free to access

• They provide highly specific job matching

• They are conducted by experts in every field

• They can quickly become out of date

What are the factors affecting Market Rate Analysis

• Timing, Job Factors & Target Market

• Business type & Demand

• Pricing, Market Profitability & Sample Frame

• Timing, Sample Frame & Job Matching

What is the purpose of using benchmark jobs in market rate surveys?

• To create unique job descriptions

• To eliminate the need for job matching

• To ensure all jobs are paid equally

• To provide guidance on the design of a pay structure

What is a potential issue with using job advertisements as a source of market data?

• They are always accurate

• They are the most reliable source of data

• They can be misleading and not reflect actual pay

• They provide a comprehensive view of all job roles

Job matching is the extent to which the external jobs with which the internal jobs are being compared are similar.

• TRUE

• FALSE

Which of the following is a method of job matching that provides the least accuracy?

• Capsule job descriptions

• Job title comparison

• Brief description of duties

• Full role profiles

The most accurate method of Job Matching is?

• Job Title

• Brief description of duties and level or zone of responsibility

• Full role profiles, with a factor analysis of the levels of responsibility

• Job evaluation