Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

MGT 310 > EXAM 3 COMPENSATION > Flashcards

EXAM 3 COMPENSATION Flashcards

1
Q

indirect compensation

A

non-monetary (benefits, services, perks)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

direct compensation

A

monetary

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Base

A

salary, hourly wage

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

merit

A

permanent reward for past performance
don’t know ahead of time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

incentives

A

motivate future performance
one time thing
told ahead of time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

skill/knowledge

A

more valuable
ex. degree, CPA, skills

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

seniority

A

loyalty/stay with company a long time
more experience = better employee

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

add-ons

A

ot
shift differentials
holidays
weekends

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

COLA

A

cost of living adjustment
higher inflation = higher $

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

compensation philosophies?

A

entitlement
performance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

compensation philosophy (entitlement)

A

seniority based
across the board raises (every year)
“santa claus” bonuses (once a year, good or bad)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

compensation philosophy (performance)

A

performance based (earn it)
no raises for poor performers
not necessarily every year

MORE COMMON

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

equity theory

A

compare pay to others to determine fairness (outside company or coworkers)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

equity (fair)

A

my outcomes/inputs = other’s outcomes/inputs

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

inequity (under-reward)

A

my outcomes/inputs < other’s outcomes/inputs

quit? less effort, bad attitude

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

inequity (over-reward)

A

my outcomes/inputs > other’s outcomes/inputs

rationalize, move on

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

pay secrecy

A

guess higher pay than actual

18
Q

internal equity

A

pay differences for ALL jobs are fair

19
Q

external equity

A

what I am paying vs. what others are paying

20
Q

individual equity

A

same job, same company

21
Q

determining internal equity: job evaluation

A

job ranking
job classification
point-factor method

22
Q

job ranking

A

cons- diff. standard, criteria?, diff. between jobs, relies heavily on job description

pros– fairly easy and quick if few jobs

23
Q

point-factor method

A

compensable factors (characteristics w/ value)
–> levels w/ points –> job description (not person)

VALUE OF JOB, NOT PERSON

cons- need training, time consuming

pros- most common, east to defend, criteria

24
Q

job classification

A

take job descriptions and rank from highest to lowest

25
Q

determine external equity: market review

A

conduct salary surveys
determine pay level policy

w/ other companies

26
Q

conduct salary surveys

A

size
location
industry

27
Q

determine pay level policy

A

match (=)
lead (+)
lag (-)

28
Q

match

A

most companies
no leverage

29
Q

lead

A

more applicants
more labor costs

30
Q

lag

A

harder to attract
higher turnover
lower labor costs
only get bad performers

offer benefits to offset it

31
Q

establishing pay: combining internal & external equity

A
  1. plot each job
  2. market line
  3. pay grades

lead = move line up
lag = move line down

32
Q

red circle employee

A

employee whose pay is ABOVE their position’s maximum rate

33
Q

green circle employee

A

employee whose pay is BELOW their position’s maximum rate

34
Q

recognizing individual equity

A

experience
seniority
performance (merit pay, incentives, knowledge/skill pay)

35
Q

title VII of the civil rights act of 1964

A

protects from employment discrimination based on race, color, religion, sex and national origin

36
Q

lilly ledbetter fair play act of 2009

A

every time you get a paycheck based on discrimination, the 180 days resets

37
Q

fair labor standards act of 1938

A

min. wage
overtime
child labor
(14-15 yrs: limited jobs and hours
16-17 yrs: limited jobs
18+ yrs: unlimited)

38
Q

min. wage provision

A

provide an income floor flow worker’s lowest paid jobs

can pay less if tipped

state laws diff. (can’t pay worse than federal min. wage)

39
Q

overtime provision

A

time and a half for > 40 hours

nonexempt = OT
exempt = no OT

40
Q

exempt from OT?

A

salary test (earn more than this amount)

job duties test (executive, admin, professional, outside sales, computer related, highly compensated)

41
Q

equal pay act of 1963

A

pay men + women in same job w/ same company the same amount

exceptions:
- seniority
- merit pay
- quantity or quality of production
- factors other than sex

MGT 310 (9 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions