Chapter 8

Question 1

direct compensation

Answer 1

all types of financial rewards employees receive as part of their employment

wages incentives

Question 2

indirect compensation

Answer 2

benefits/services employees receive in exchange for their work

Question 3

human rights legislation

Answer 3

• employers may not base differences in pay on employees age, ethnicity, race, sex, family status etc
• protects from discrimination
• resecting Indigenous spiritual practices

Question 4

employment/labour standards act

Answer 4

requirements for wages, hours, overtime pay, vacation, and holidays

Question 5

right to disconnect

Answer 5

• working for workers act
• not engaging in work-related communications

Question 6

pay equity legislation

Answer 6

• addresses the wage gap between female and male-dominated jobs

Question 7

pay transparency

Answer 7

• federally regulated private sector employers with 100+ employees
• intended to hep women, Indigenous peoples, people w disability and other visible minorities
• started in winter 2023

Question 8

Canada pension plan (CPP) / Quebec pension plan (QPP)

Answer 8

• mandatory contributory plan

Question 9

employment insurance

Answer 9

• temporary financial assistance to non-working eligible people who have lost their jobs through no fault of their own
• ill, injured, pregnancy, providing care to ill/injured

Question 10

workers compensation insurance

Answer 10

• protect employees from financial hardship due to work-related injury or disease
• operates under no-fault liability

Question 11

the Canada Labour Code

Answer 11

provide 10 days of sick paud leave for employees

Question 12

total compensation

Answer 12

• direct and indirect compensation
• includes base pay, incentives, and benefits

Question 13

product market

Answer 13

• organizations that offer competing goods and services
• competing to serve the same customers

Question 14

job structure

Answer 14

• the relative pay for different jobs within the organization
• identify the compensable factors
• establishes pay among different functions and different levels of responsibility

Question 15

pay level

Answer 15

the average amount (including wages, salaries, bonuses) the organization pays for a particular job

Question 16

pay structure

Answer 16

• hourly wage: pay in terms of rate per hour
• piecework rate: a rate of pay for each unit produced
• salary: rate of pay per week, month, year

Question 17

pay policy line

Answer 17

• shows the relationship between job evaluation and rate of pay
• reflects the par structure

Question 18

pay grades

Answer 18

set of jobs having similar worth or content grouped to establish rates of pay

Question 19

pay range

Answer 19

minimum, maximum or midpoint of pay for a particular job or within a particular pay grade

Question 20

broad banding

Answer 20

a pay structure that consolidates pay grades into a few “broad bands”

Question 21

competency-based pay systems

Answer 21

• aka skill-based pay systems
• pay structures that set a pay according to the employees level of skill or knowledge

Question 22

compa-ratio

Answer 22

• the ratio of average pay to the midpoint to the pay range
  **look at notes for finding ratio

Question 23

incentive pay

Answer 23

• performance-related pay
• individual performance, profits, measures of success
• select incentives based on costs and influence on performance

Question 24

piecework rates

Answer 24

as an incentive to work efficiently, some organizations pay workers a wage based on the amount they produce

Question 25

standard hour plans

Answer 25

an incentive plan that pays workers extra for work done in less than a present "standard time"

Question 26

merit pay

Answer 26

a system of linking pay increases to ratings on performance appraisals

Question 27

performance bonuses

Answer 27

reward individual performance by bonuses are not rolled into base pay

Question 28

commissions

Answer 28

a variation of piecework rates and bonuses or pay calculated as a percentage of sales

Question 29

gainsharing

Answer 29

measures improvements in productivity and effectiveness and distributes a portion of each gain to employees

Question 30

team bonuses and awards

Answer 30

- often used for smaller work groups to reward them - measured in terms of physical output

Question 31

profit sharing

Answer 31

incentive pay in which payments are a percentage of the organizations profits and do not become part of the employees base salary

Question 32

stock ownership

Answer 32

- stock options - employee stock ownership plan (ESOP)

Question 33

stock options

Answer 33

the right to buy a certain number of shares of stock at a specified price

Question 34

employee stock ownership plan (ESOP)

Answer 34

an arrangement in which the organization distributes shares of stock to all its employees by placing it n a trust

Question 35

employee benefits

Answer 35

health plans, retirement savings plans, sick leave and paid vacation time, mental health supports

Question 36

flexible benefits plans

Answer 36

offer employees a set of alternatives from which they can choose the types and amounts of benefits they want

Question 37

AI in total rewards

Answer 37

1. automation - employeerecieves automated benefits emails 2. assisted - employee interacts with chatbot to receive answers about benefits 3. augmented - employees receive recommendations about benefits based on their profile info, past usage, and sources of org. info 4. autonomous - benefits are automatically adjusted to personalize and optimize without being reviewed by manager