Deck 24: Rewarding and Developing Employees

Question 1

Compensation includes not only salary or wages but other benefits employees receive in exchange for their labor.

Answer 1

True

Question 2

Wages differ from salaries primarily in the kinds of benefits associated with them.

Answer 2

False

Question 3

Time plans do not reward employees for outstanding work or extra effort.

Answer 3

True

Question 4

Performance plans such as commission plans have no drawbacks.

Question 5

Piece-rate plans can be applied not only to factory workers but to telemarketers, data-entry workers, and others.

Question 6

A performance payment plan makes it difficult for new employees to earn a reasonable amount.

Question 7

A combination plan generally combines the commission and piece-rate plans.

Question 8

The bonus system is designed to encourage employees to focus on long-term performance.

Question 9

Changing compensation plans should involve the participation of employee groups.

Question 10

Minimum wage laws are considered a social as well as economic policy.

Question 11

Many states have set a lower minimum wage than the federal level.

Question 12

Many companies pay some or all of the costs of college courses that employees take as part of preparing for promotions and career advancement.

Question 13

On average, companies spend an additional 50 percent of employee salaries and wages on benefits.

Question 14

401(k)plans are designed for self-employed people.

Question 15

The concept of flex-time includes allowing two people to share one job.

Question 16

Profit sharing is a compensation plan designed to encourage employees to do things that increase company profits.

Question 17

Paid holidays are an example of an employee benefit.

Question 18

Human resources is one business function that cannot easily be outsourced.

Question 19

Formal performance reviews are generally conducted on all employees every other year.

Question 20

During a performance review, the discussion should focus on the employee's performance rather than on the employee.

Question 21

The money and other benefits people receive for work is called

A) bonus
B) compensation
C) salary
D) wage

Question 22

A salesperson on a 6% commission plan sells $80,000 worth of services in a single week.How much would the salesperson be paid for that week?

A) $1,280.00
B) $2,285.70
C) $2,800.00
D) $3,050.50

Question 23

Paying an executive $140,000 a year is an example of what kind of compensation plan?

A) piece-rate plan
B) performance plan
C) time plan
D) commission plan

Question 24

Which of the following is a disadvantage of a time-based payment plan?

A) The plan makes it difficult for new employees to earn a reasonable amount.
B) It does not financially reward employees for outstanding work.
C) It encourages salespeople to sell customers products they don't need.
D) It encourages experienced workers to find shortcuts.

Question 25

The plan for paying employees that has the advantages of various pay systems is the

A) commission plan
B) profit-sharing plan
C) piece-rate plan
D) combination plan

Question 26

A variation of the combination plan that links employee rewards to the achievement of important department or company goals is the use of

A) health insurance
B) employee benefits
C) bonuses
D) promotions

Question 27

Which of the following is not a legitimate factor on which to base the amount of employee pay?

A) employee's level of experience
B) skills an employee brings to the job
C) employee's gender
D) prevailing wage rates in the community

Question 28

When contributions to a retirement plan are tax-deferred,

A) the employee is not required to pay taxes on them at any time
B) benefits are not taxed until the employee withdraws them at retirement
C) the employer pays all taxes
D) taxes gradually rise until benefits are withdrawn at retirement

Question 29

A retirement plan for employees in public education and some nonprofit organizations is a

A) 401(k)plan
B) 403(b)plan
C) 503(c)plan
D) 529 plan

Question 30

Staggering the work week means some employees

A) work fewer than 40 hours
B) start their week on a day other than Monday
C) work the graveyard shift only
D) always work on weekends

Question 31

A plan in which employees work the same number of hours a day but may start and finish their work days at different times is called

A) telecommuting
B) job sharing
C) outsourcing
D) flex-time

Question 32

Federal law requires businesses to offer unpaid family and medical leave if they have

A) 10 or more employees
B) 20 or more employees
C) 50 or more employees
D) more than 50 employees

Question 33

A retirement plan designed for self-employed people is the

A) 401(k)plan
B) profit-sharing plan
C) IRA plan
D) SEP plan

Question 34

With a cafeteria plan, employees can choose

A) additional benefits over additional pay
B) the hours that they want to work
C) from among benefits of equal value
D) the type of payment plan they want

Question 35

Companies use the information they obtain from performance reviews to

A) determine wage and salary increases
B) transfer or discharge employees
C) plan training programs
D) all of the responses

Question 36

Managers should conduct formal performance reviews of all employees at least

A) weekly
B) when the employee requests it
C) once or twice a year
D) monthly

Question 37

On average, the amount spent on training for each employee in one year is close to

A) $500
B) $1,000
C) $1,500
D) $2,000

Question 38

Which of the following is not a characteristic of an effective performance review conference?

A) Both strengths and weaknesses are discussed.
B) A specific work plan is one result of the conference.
C) Feedback includes personal opinions as well as objective information.
D) The employee has the chance to discuss working conditions and available support.

Question 39

Training related to workplace diversity and sexual harassment is part of

A) employee health and wellness training
B) new-employee orientation training
C) basic-skills training
D) awareness training

Question 40

Job skills training would include

A) time management
B) sales and customer service
C) safe working procedures
D) English as a second language

Question 41

Match each item with the correct statement below.

-Pay based on an hourly rate.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 42

Match each item with the correct statement below.

-Planned instruction with a specific curriculum and instructor.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 43

Match each item with the correct statement below.

-Compensation plan that pays a percentage of the volume of sales for which an employee is responsible.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 44

Match each item with the correct statement below.

-All forms of compensation and services provided to employees in addition to salaries and wages.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 45

Match each item with the correct statement below.

-Compensation plan that pays a fixed rate for each unit produced.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 46

Match each item with the correct statement below.

-Arrangement in which employees choose their own work hours within specified limits.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 47

Match each item with the correct statement below.

-Compensation plan that pays a certain amount of a specified period of time worked.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 48

Match each item with the correct statement below.

-Fixed amount of pay made on a regular schedule such as weekly or monthly.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 49

Match each item with the correct statement below.

-Benefits plan that allows employees choose the benefits that meet their personal needs.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage

Question 50

Match each item with the correct statement below.

-The process of assessing how well employees are doing their jobs.

A)Bonus
B)cafeteria plan
C)commission plan
D)employee benefits
E)flex-time
F)formal training
G)informal training
H)job sharing
I)performance review
J)piece-rate plan
K)salary
L)time plan
M)wage