ESTABLISHING STRATEGIC PAY PLANS

Question 1

The situation in which senior employees’ salaries are lesser than recruited employees, called

Answer 1

salary compression

Question 2

A job that helps employers to arrange job in relative worth is called

Answer 2

benchmark jobs

Question 3

The salary surveys are used for monitoring and maintaining

Answer 3

external equity

Question 4

The equity theory of motivation includes

Answer 4

external equity,
internal equity,
individual equity

Question 5

The compensation for top executive job is largely based on

Answer 5

job complexity,
employer’s ability to pay,
executive’s human capital

Question 6

The total profit and rate of return is classified as

Answer 6

employer’s ability to pay

Question 7

In the professional jobs, the mostly compensable focused factors are

Answer 7

problem solving,
creativity,
technical knowledge and expertise

Question 8

A method in which corresponding points of each compensable factors for calculation of total point is called

Answer 8

point method

Question 9

The sales commission is an example of

Answer 9

performance based pay

Question 10

The several jobs rated with individual ranking, comes under

Answer 10

combining ratings

Question 11

Determining the job’s worth in comparison of other job is called

Answer 11

job evaluation

Question 11

The grouping of dissimilar jobs such as secretaries, mechanics and firefighters, called

Answer 11

grades

Question 12

The ‘Hay consulting firm’ emphasizes compensable factors such as

Answer 12

accountability

Question 13

The ‘commission’ that salesmen earns is an example of

Answer 13

direct pay

Question 14

The supplemental insurance plans are included in

Answer 14

executive perks

Question 15

Defining the factors to be compared is included in

Answer 15

selection of compensable factors

Question 16

The work experience and field of study are included in

Answer 16

human capital

Question 17

The operating profit margin is included in

Answer 17

short-term of shareholder value

Question 18

The concession, employees gets in form of discounts in air ticket and bus fares is an example of

Answer 18

non direct payments

Question 19

The comparison of fairness between the sales manager and production manager job pay rates, is an example of

Answer 19

internal equity

Question 20

The ways of direct financial payments are

Answer 20

increments based on time

Question 20

On the basis of comparable jobs, the variables such as skills, responsibility and working conditions, considered as

Answer 20

compensable factors

Question 20

‘Microsoft’ pays new programmers for learning Windows particulars, classified as

Answer 20

pay plan based on knowledge

Question 21

The fairness of individual’s job pay rates in comparison to employees within the firm is included in

Answer 21

individual equity

Question 22

The demonstrable skills, knowledge or behaviors that enable employee’s performance are called

Answer 22

competencies