HRM Chapter 6 Test

Which of the following statements is true of the contingent workforce of an organization?

• It refers to the employees who feel guilty over keeping their jobs when others are laid off as part of the rightsizing process of an organization.

• It includes employees who work more than 50 hours a week.

• In includes all part-time employees who are employed by an organization to fill in for permanent employees during peak demand.

• It refers to the permanent employees of an organization.

Adelint Inc., a retail store chain, had been incurring high costs and hence downsized its workforce to increase its profits. However, the company's business grew over the next 6 months, and it had to recruit many new employees. The company hence ended up incurring the usual high infrastructure costs as well as the cost of recruiting the new employees. Instead of downsizing its workforce, Adelint Inc. could have ______.

• rightsized its workforce

• outsourced its work

• invested in plant and machinery

• reduced its fixed assets

Which of the following is a dimension of interactional justice that refers to the extent to which the decision maker of a layoff decision provides details about the rules used to make the decision and how they were applied?

• interpersonal justice

• informational justice

• procedural justice

• distributive justice

In the context of layoffs, which of the following refers to the quality of the interpersonal treatment people receive when a decision is implemented?

• distributive justice

• procedural justice

• interactional justice

• restorative justice

As an alternative to recruitment, organizations might hire what type of workforce?

• promised

• full-time

• contingent

• unforeseen

Ramon employed by a software company to work in the print media section of its public relations department. The management of the company recently laid off the entire print media section, including Ramon, to cut costs. However, Ramon was not angry about the company's decision because he believed the decision of the company was objective and unbiased as all the employees in the print section were terminated. This scenario illustrates ___________.

• interactional justice

• procedural justice

• informational justice

• restorative justice

Voice, a critical dimension of procedural justice, refers to the perception that ________.

• the rules used to make a decision were applied the same way to everyone involved

• the person applying the rules to make a decision had no vested interest in the outcome of the decision

• the rules used to make a decision conform to prevailing standards of ethics and morality

• the person affected by a decision had some control over the outcome in the decision

In the context of the dimensions of procedural justice, which of the following is the perception that the rules used to make a decision conform to personal or prevailing standards of morality?

• consistency

• representativeness

• voice

• ethically

Cinergy Inc., a Midwestern gas and electric utility company, needs to reduce its workforce over the next 2 years. The company is offering employees who leave the firm before the age of 65 a bonus equilvalent to 2 weeks pay for every year of employment with Cinergy Inc. In the given scenario, Cinergy Inc. is __________.

• increasing job embeddedness

• encouraging voluntary early retirement

• providing stock options to employees

• implementing an involuntary turnover strategy

From what group does most of the pressure come for management to downsize its workforce?

• stockholders

• union

• middle managers

• front-line managers