Exam 1

Question 1

What are the three basic building blocks of the Pay Model?

Answer 1

Policies, Techniques, and Objectives

Question 2

What are the basic objectives of the Pay Model?

Answer 2

Efficiency, fairness, compliance, and ethics

Question 3

Conforming to federal and state compensation laws and regulations

Answer 3

Compliance

Question 4

What are the four policy choices on the pay model?

Answer 4

Internal alignment, external competitiveness, employee contributions, and management

Question 5

What techniques are involved with internal alignment?

Answer 5

Work analysis, descriptions, evaluation/certification (internal structure)

Question 6

What techniques are involved with competitiveness?

Answer 6

Market definitions, surveys, policy lines (pay structure)

Question 7

What techniques are involved with contributions?

Answer 7

Seniority based, incentives, merit guidelines (pay for performance)

Question 8

What techniques are involved with management?

Answer 8

Cost, communication, change (evaluation)

Question 9

What drives everything else in the pay model

Answer 9

objectives

Question 10

Jobs not subject to provisions of the Fair Labor Standards Act with respect to
minimum wage and overtime. Include most executives,
administrators, professionals, and outside sales representatives

Answer 10

Exempt

Question 11

What do exempt workers get paid?

Answer 11

Salary

Question 12

Employees who are subject to the provisions of the Fair Labor Standards Act.

Answer 12

Nonexempt

Question 13

What do nonexempt workers get paid?

Answer 13

Wages

Question 14

the systematic process of collecting information that identifies similarities and differences at work

Answer 14

job analysis

Question 15

Legislation passed in 1990 that requires that reasonable
accommodations be provided to permit employees with disabilities to
perform the essential elements of a job

Answer 15

americans with disabilities act

Question 16

The consistency of the results obtained, that is, the extent to which any measuring
procedure yields the same results on repeated trials. Job information does not
mean that it is accurate (valid), comprehensive, or free from bias.

Answer 16

Reliability

Question 17

The accuracy of the results obtained; that is, the extent to which any measuring device measures what it purports to measure.

Answer 17

Validity

Question 18

an be used as a basis for hiring are
knowledge, skills, and abilities required to adequately perform the tasks

Answer 18

Specifications

Question 19

Have fewer levels and smaller differentials between adjacent levels and between the highest and lowest-paid workers

Answer 19

egalitarian structure

Question 20

Elemental units of work, a specific statement of what a worker does on a job

Answer 20

Task

Question 21

Salary derives from what word

Answer 21

Salt

Question 22

Middle english that describes services done on hourly basis

Answer 22

Wagen

Question 23

From department of labor the US gov is one of the largest for analyzing jobs

Answer 23

Revised handbook for analyzing jobs

Question 24

What is the difference between use value and exchange value

Answer 24

Use value reflects the value of goods or services an employee produces in a job.
Use value is the qualitative aspect of value.

Exchange value is the wage agreed upon by the employer and the employee
Exchange value is the quantitative measure of value.

Question 25

Compare equity, tournament, and institutional theory

Answer 25

Equity theory proposes that in an exchange relationship the equality of output/input ratios between people will determine fairness,
Tournament theory proposes that larger differences in pay are more motivating than smaller differences.
Finally, institutional theory sees firms as responding to normative pressures in their environment as to gain legitimacy and reduce risk.

Question 26

One of the biggest threats/risks

Answer 26

Outsourcing

Question 27

Internal alignment must support the ____

Answer 27

organizational strategy

Question 28

Does not increase your wage, your hourly wage stays the same

Answer 28

Incentive pay