QUESTION Prab was promoted to a managerial position six months ago and is conducting her first performance appraisals. She is committed to developing her employees and wants to do an excellent job counseling them in their appraisals. Which of the following should Prab NOT do? A) discuss facts about performance and desired improvements B) treat […]
QUESTION Which of the following is NOT considered when determining base pay for an employee? A) pay rates offered by area competitors B) union status of the job C) employee experience D) employee gender E) prevailing industry pay levels ANSWER Answer: D Explanation: D) The Equal Pay Act of 1963 prohibits pay differences based […]
QUESTION Amy is an air traffic controller in New Jersey. She is scheduled to spend two weeks at a facility in Oklahoma learning to use a new computer system under a variety of simulated high-stress scenarios. Which term best describes this experience? A) job rotation B) shadowing C) vestibule training D) distance learning E) apprenticeship […]
QUESTION Forced ranking performance review systems rank all employees within a company business unit against one another. Their performance grades are distributed on a bell curve, which determines potential disciplinary actions or rewards. What is NOT a potential drawback of these evaluation systems? A) They lower employee morale. B) They invite legal challenges. C) They […]
QUESTION Why do businesses provide training and development for their employees? A) to avoid external recruiting B) to comply with the Worker Adjustment & Retraining Notification Act C) to comply with the OSHA regulations D) to increase their performance and productivity E) to prepare them for employment tests ANSWER Answer: D Explanation: D) Training […]
QUESTION Hector and Carmela work for a firm that uses forced ranking performance reviews. They were surprised to receive low rankings and reprimands, when there seemed to be little difference in performance among their work unit. They are considering taking legal action. What law would be appropriate for their case? A) Sarbanes-Oxley Act B) Equal […]
QUESTION Bert manages operations for a large warehouse and is conducting performance appraisals. He has just told a first-year employee that she is too slow navigating the warehouse for multiple order pickups. What is the best counsel that Bert can offer this employee? A) to arrange an internship B) to find a different line of […]
QUESTION Which of the following is NOT considered an incentive under employee compensation structures? A) profit-sharing plans B) bonuses C) stock options D) commissions E) golden parachutes ANSWER Answer: E Explanation: E) Golden parachutes are considered a benefit or nonsalary compensation. These are lucrative severance payments guaranteed to key executives under prior agreement.
QUESTION Which of the following is commonly used to evaluate employees working under a management-by-objectives system? A) informal appraisals B) objective appraisals C) behavior appraisals D) trait appraisals E) self-appraisals ANSWER Answer: B Explanation: B) Objective appraisals are based on facts and often numbers related to employee performance. The numbers are often set according […]
QUESTION Paulina is discussing a compensation package with a potential new hire. The company is known for offering very generous benefits to employees, and Paulina is describing each one. Which of the following does she NOT include in her benefits discussion? A) vacation time B) retirement plan C) dental insurance D) profit sharing E) fitness […]
