COMPENSATION STRATEGIES AND PRACTICES

Question 1

The ratio in which the pay level is divided by the pay range midpoint is classified as

Answer 1

Compa-ratio

Question 2

The perceived fairness that must be considered in outcomes of performance is classified as

Answer 2

distributive justice

Question 3

The compensation philosophy according to which the organization increase the salary of employees every year is called

Answer 3

entitlement orientation philosophy

Question 4

The types of compensation the employees get from organization after timely completion of work includes

Answer 4

intrinsic rewards,
extrinsic rewards

Question 5

The factors that are common in group of jobs and are used to identify the value of job are called

Answer 5

compensable factors

Question 6

The compensation philosophy according to which compensations are not paid according to span of service, but considering performance level is called

Answer 6

performance orientation philosophy

Question 7

The ‘compensation quartile strategy’ in which 75% of employers pay below than market and remaining 25% pay compensations higher than market is called

Answer 7

third quartile strategy

Question 8

The position such as administrative, professionals and executive are classified as

Answer 8

exempt employees

Question 9

If the mid-point is 20 and the current pay of an employee is $25 then the compa-ratio is

Answer 9

125

Question 10

The group of all the jobs which have the same worth of job are classified as

Answer 10

pay grade

Question 11

The graph which shows the relationship between job value, which is determined rates of pay survey and job evaluation points is classified as

Answer 11

market line

Question 11

The concept in which the whole or part of yearly pay increase is paid as single payment, is called

Answer 11

consumer price index adjustment,
lump sum increase,
cost of living adjustment

Question 11

According to compensation programs, the benefits such as retirement pensions and life insurances are classified in the category of

Answer 11

indirect compensation

Question 12

The employee who is paid less than the specified range for the job is classified as

Answer 12

green circled employee

Question 13

The indirect rewards given to employees of organization for being the member of organization are called

Answer 13

benefits

Question 14

The time spent in organization while performing the particular job is classified as

Answer 14

seniority

Question 15

The curve which is used to represent relationship between pay rate and experience is classified as

Answer 15

maturity curve

Question 16

The perceived fairness between what person receives and what person did is classified as

Answer 16

equity

Question 17

The procedure of using less and more broad pay grades than the traditional system of compensation is classified as

Answer 17

broad banding

Question 18

The payments made to employees for the amount of time in which the employee has worked are classified as

Answer 18

wages

Question 19

The payments made to employees without taking hours for which they worked into consideration are called

Answer 19

salaries

Question 20

The perceived fairness of all the procedures and process that are considered to make decisions about employees and their pay is called

Answer 20

procedural justice

Question 21

The multiple plans specifying business unit and family while giving compensation are considered in approach called

Answer 21

traditional compensation approach

Question 22

The basic compensations given to employees as salaries or wages are called

Answer 22

base pay

Question 23

The type of rewards employees get in form of praise for successfully accomplishing goals or completing project is classified a

Answer 23

intrinsic rewards

Question 24

The factors must be considered to price the jobs in any organization includes

Answer 24

job importance,
difficulty of job,
skills and abilities required

Question 25

The most common and usual form of direct compensation paid in organizations is

Answer 25

base and variable pay

Question 26

The factors such as earnings level, discretionary authority and percentage of spent time in manual work are factors that must be held to define

Answer 26

non-exempt status

Question 26

The employees to whom the overtime is must to be paid under the restriction of Fair Labor Standards Act are called

Answer 26

non-exempt employees

Question 27

The outcomes of competency based system such as improved and higher employee satisfaction and commitment are classified as

Answer 27

employee-related outcomes

Question 28

The employees to whom the overtime is not paid under the restriction of Fair Labor Standards Act are called

Answer 28

exempt employees

Question 29

The concept in which the pay for the jobs that require similar skills, abilities and knowledge without taking duties into consideration is called

Answer 29

pay equity

Question 30

The type of rewards employees get in the form of monetary or non-monetary benefits are classified as

Answer 30

extrinsic rewards

Question 31

According to compensation programs designed for employee, the variable pay other than base pay is classified as part of

Answer 31

direct compensation

Question 32

Considering the non-exempt status of employees, the employees to whom overtime must be paid according to FLS act are classified as

Answer 32

salaried non-exempt