Compensation Mgt Systems - Unit one quiz

______refers to a wide range of financial and non-financial rewards to employees for their services rendered to the organization

• Pay

• Benefits

• Compensation

• Salary

Compensation consists of ALL the following EXCEPT______

• gross pay

• basic salary

• allowances

• benefits

Compensation management can be defined as_______.

• outlining processes regarding compensation

• dealing with pay issues

• the discipline for determining employees' appropriate pay and benefits

• a formal statement documenting the company's position about employee compensation

Compensation philosophies are typically developed by the human resources department in collaboration with _______.

• middle managers

• top management

• employees

• trad union

If the employer's current compensation philosophy does not support this value, then the organization may need to change its philosophy to meet its current needs.

• True

• False

Most compensation philosophies seek to______.

• Identify the organization's pay programs and total reward strategies.

• Identify how the pay programs and strategies support the organization's business strategy

• Retain key talent and reward high-performing employees.

• All responses stated

An effective compensation philosophy should pass the following quality test___.

• Is the overall program equitable?

• Is the overall program defensible and perceived by employees as fair?

• Are the programs included in the compensation philosophy and policy legally compliant?

• All responses stated

Worker productivity & value to the organization is a ______

• key compensation factor

• compensation philosophy

• type of compensation

• compensation trend

Merit pay can be defined as___

• monthly salary

• payment given as a bonus

• payment given for overtime work

• a raise in pay based on a set of criteria set by the employer.

When an employee uses skills-based pay, this means______.

• compensation to employees is made based on knowledge

• Compensation to employees is made based on skills

• compensation is made to employees based on qualifications

• compensation is made based on years of service and skills accumulated