TRUE/FALSE
1. Companies that want to attract good applicants for employment generally
utilise wage surveys in order to determine the A going rate@ in the labour
market. T
2. Companies that offer a low hourly wage often do so because they expect
increased turnover and are prepared to live with it. F
3. Compensation addresses the physical and security needs cited by Maslow. T
4. Given the limited knowledge job seekers often have about various employers
in the local labour market, their general perceptions regarding what job is
available and the salary being offered are the best factors they have to
consider before accepting employment. T
5. Job evaluation and job performance are actually the same processes used by
HR professionals to construct compensation systems. F
6. Job evaluation is the systematic determination of each person=s job
performance. F
7. Workers expect that their performance will correlate with the rewards they
receive from the employer. T
8. Accurate performance appraisal systems are fairly easy to construct. F
9. Red circle employees are those employees who are paid more than the
maximum amount of the pay grade. T
10. One disadvantage to overlapping pay grades is that a promotion may not
increase the employee=s pay but could actually decrease pay. T
11. Workforce flexibility can be promoted by rewarding employees for their skills.
T
12. Depth skill plans reward complementary skills. F
13. Service industry jobs can be readily defined according to a measurable
standard and then subsequently compensated through the straight piecework
system. F
14. The implementation of a team-based incentive programme is an effective
strategy used to combat the problem of too much competition. T
15. Specific productivity measures such as time, materials or cost savings are tied
to compensation when using a profit-sharing plan. F
16. A person who is a member of a team but who produces at less than his/her
maximum capability is probably a social loafer. T
1
1. Companies that want to attract good applicants for employment generally
utilise wage surveys in order to determine the A going rate@ in the labour
market. T
2. Companies that offer a low hourly wage often do so because they expect
increased turnover and are prepared to live with it. F
3. Compensation addresses the physical and security needs cited by Maslow. T
4. Given the limited knowledge job seekers often have about various employers
in the local labour market, their general perceptions regarding what job is
available and the salary being offered are the best factors they have to
consider before accepting employment. T
5. Job evaluation and job performance are actually the same processes used by
HR professionals to construct compensation systems. F
6. Job evaluation is the systematic determination of each person=s job
performance. F
7. Workers expect that their performance will correlate with the rewards they
receive from the employer. T
8. Accurate performance appraisal systems are fairly easy to construct. F
9. Red circle employees are those employees who are paid more than the
maximum amount of the pay grade. T
10. One disadvantage to overlapping pay grades is that a promotion may not
increase the employee=s pay but could actually decrease pay. T
11. Workforce flexibility can be promoted by rewarding employees for their skills.
T
12. Depth skill plans reward complementary skills. F
13. Service industry jobs can be readily defined according to a measurable
standard and then subsequently compensated through the straight piecework
system. F
14. The implementation of a team-based incentive programme is an effective
strategy used to combat the problem of too much competition. T
15. Specific productivity measures such as time, materials or cost savings are tied
to compensation when using a profit-sharing plan. F
16. A person who is a member of a team but who produces at less than his/her
maximum capability is probably a social loafer. T
1
