HMR P2

What are the two main components of employee compensation?

• A. Hourly wages and commissions

• B. Performance incentives and health benefits

• C. Base salary and bonuses

• D. Direct financial payments and indirect financial payments

Which law governs employment practices in the Philippines?

• A. National Budget Circular

• B. Salary Standardization Law

• C. Civil Service Act

• D. Labor Code of the Philippines

What is the purpose of the Strategic Performance Management System (SPMS)?

• A. To enhance employee performance and link it to organizational goals

• B. To manage employee benefits

• C. To determine pay rates for employees

• D. To conduct performance evaluations only

What does equity theory of motivation suggest?

• A. People are motivated by their contributions and rewards balance

• B. Employees prefer time-based pay over performance-based pay

• C. Compensation should be equal across all positions

• D. Overpaying employees leads to higher productivity

What is a Collective Bargaining Agreement (CBA)?

• A. A contract that outlines terms and conditions of employment

• B. A performance evaluation tool

• C. A government regulation on pay rates

• D. An employee's job description

Which of the following is NOT a basic element of the SPMS?

• A. User-friendly forms

• B. Information systems for monitoring

• C. Employee salary increments

• D. Goals aligned to agency mandate

What is the first stage of the SPMS process?

• A. Performance review and evaluation

• B. Performance planning and commitment

• C. Performance monitoring and coaching

• D. Performance rewarding and development planning

What does the term 'time-based pay' refer to?

• A. Pay based on company profits

• B. Pay based on employee performance evaluations

• C. Pay based on the duration of work performed

• D. Pay based on the amount of work produced

Which of the following is a component of direct financial payments?

• A. Vacation days

• B. Wages and salaries

• C. Work-life balance programs

• D. Employer-paid insurance

What is the term for the right of employees to form unions?

• A. Self-organization

• B. Collective bargaining

• C. Employee representation

• D. Labor relations