MIE 330 Exam 4 Latest Version Already Graded A

MIE 330 Exam 4 Latest Version Already Graded A Decisions about Pay -Job Structure- relative pay for different jobs within org -Pay Structure-pay policy resulting from job structure and pay level decision -Pay Level- avg amount the org pays for a job Equal Employment Opportunity Employers myst not base differences in pay on age, sex, race -no guarantee of equal pay for men and women, white and minorities Fair Labor Standards Act (FLSA) Establishes a minimum wage and requirementes for overtime pay/ child labor Overtime pay Overtime pay is 1 1/2 times an hourly rate -Exempt employees are managers/outside sales people not covered by FLSA -Nonexempt employees are covered by FLSA Child Labor -Age 16/17 may not be employed in hazardous occupations -Age 14/15 may work only outside school hours - 14 and under cannot work Product Markets Includes orgs that offer competing goods/services -Orgs compete on quality, service, price Labor Markets Orgs must compete to obtain human resources in labor markets -competition establishes minimum an org must pay to hire an employee for particular job Benchmarking procedure where org compares its own practices against those of successful competitors Judging Fairness about pay 1.External Equity- what they think employees in other orgs with same job make 2.Internal Equity- what they think other employees in org make for other jobs 3.Individual Equity- what they think other employees in org make for doing same job Job Evaluation Procedure for measuring relative internal worth of job -Experience -Education -Complexity -Working Conditions -Responsibility Key Jobs Jobs that have relatively stable content and are common -Orgs define key jobs to help create pay structures -Pay can be based on survey data Pay Rates Determining salaries for nonkey jobs -Pay policy line reflects the pay structure in the market Pay grades Sets of jobs having similar worth or content, grouped together to establish rates of pay -may not match market rate Pay Differentials Adjustment to a pay rate to reflect differences in working conditions -most common approach is to move an employee higher in the pay structure to compensate for higher living costs Compa Ratio Equation Average pay/Midpoint Compa-Ratio Ratio of average pay to midpoint of pay range -if avg = midpoint , CR is 1 -if CR is 1 avg pay is above midpoint -if CR is 1, pay is below midpoint Incentive