HRTM 344 Exam 4 Questions With
Correct Answers
Incentive Pay - ANSWER =Forms of pay linked to an employees performance as
an individual, group member, or organization member.
Piecework Rate - ANSWER A wage based on the amount workers produce.
Straight Piecework Plan - ANSWER Incentive pay in which the employer pays the
same rate per piece, no mater how much the worker produces.
Differential Piece Rate - ANSWER Incentive pay in which the piece rate is higher
when a greater amount is produced.
Standard Hour Plan - ANSWER An incentive plan that pays workers extra for
work done in less than a preset "standard time".
Merit Pay - ANSWER A system of linking pay increases to ratings on
performance appraisals.
Commissions - ANSWER Incentive pay calculated as a percentage of sales.
Gainsharing - ANSWER Group incentive program measures improvements in
productivity and effectiveness and distributes a portion of each gain to
employees
Scanlon Plan - ANSWER A gainsharing program in which employees receive a
bonus if the ratio of labor costs to the sales value of production is below a set
standard.
Profit Sharing - ANSWER Incentive pay in which payments are a percentage of
the organizations profits and do not become part of the employees' base salary
Stock Options - ANSWER Rights to buy a certain number of shares of stock at a
specified price.
Employee Stock Ownership Plan - ANSWER An arrangement in which the
organization distributes shares of stock to all its employees by placing it in a
trust.
, Balanced Scorecard - ANSWER A combination of performance measures
directed toward the company's long and short term goals and used as the basis
for awarding incentive pay.
Employee Benefits - ANSWER Compensation in forms other than cash.
Social Security - ANSWER The federal Old Age, Survivors, Disability, and Health
Insurance program in which combines old age (retirement) insurance, survivors
insurance, disability insurance, hospital insurance (Medicare Part A), and
supplementary medical insurance (Medicare Part B) for the elderly.
Unemployment Insurance - ANSWER A federally mandated program to minimize
the hardships of unemployment through payments to unemployed workers, help
in finding new jobs, and incentives to stabilize employment.
Experience Rating - ANSWER The number of employees a company has laid off
in the past and the cost of providing them with unemployment benefits.
Workers Compensation - ANSWER State programs that provide benefits to
workers who suffer work-related injuries or illnesses, or to their survivors.
Family and Medical Leave Act (FMLA) - ANSWER Federal Law requiring
organizations with 50 or more employees to provide up to 12 weeks of unpaid
leave after childbirth or adoption; to care for a seriously ill family memory or for
an employee's own serious illness; or to take care of urgent needs that arise
when a spouse, child, or parent in the National Guard or Reserve is called to
active duty.
Patient Protection and Affordable Care Act - ANSWER Health care reform law
passed in 2010 that includes incentives and penalties for employers providing
health insurance as a benefit.
Consolidated Omnibus Budget Reconciliation Act (COBRA) - ANSWER Federal
Law that requires employers to permit employees or their dependents to extend
their health insurance coverage at group rates for up to 36 months following a
qualifying event, such as a layoff, reduction in hours, or the employees death.
Health Maintenance Organization - ANSWER A health care plan that requires
patients to receive their medical care from the HMO's health care professionals,
who are often paid a flat salary, and provides all services on a prepaid basis.
Preferred Provider Organization (PPO) - ANSWER A health care plan that
contracts with health care professionals to provide services at a reduced fee
and gives patients financial incentives to use network providers.
Correct Answers
Incentive Pay - ANSWER =Forms of pay linked to an employees performance as
an individual, group member, or organization member.
Piecework Rate - ANSWER A wage based on the amount workers produce.
Straight Piecework Plan - ANSWER Incentive pay in which the employer pays the
same rate per piece, no mater how much the worker produces.
Differential Piece Rate - ANSWER Incentive pay in which the piece rate is higher
when a greater amount is produced.
Standard Hour Plan - ANSWER An incentive plan that pays workers extra for
work done in less than a preset "standard time".
Merit Pay - ANSWER A system of linking pay increases to ratings on
performance appraisals.
Commissions - ANSWER Incentive pay calculated as a percentage of sales.
Gainsharing - ANSWER Group incentive program measures improvements in
productivity and effectiveness and distributes a portion of each gain to
employees
Scanlon Plan - ANSWER A gainsharing program in which employees receive a
bonus if the ratio of labor costs to the sales value of production is below a set
standard.
Profit Sharing - ANSWER Incentive pay in which payments are a percentage of
the organizations profits and do not become part of the employees' base salary
Stock Options - ANSWER Rights to buy a certain number of shares of stock at a
specified price.
Employee Stock Ownership Plan - ANSWER An arrangement in which the
organization distributes shares of stock to all its employees by placing it in a
trust.
, Balanced Scorecard - ANSWER A combination of performance measures
directed toward the company's long and short term goals and used as the basis
for awarding incentive pay.
Employee Benefits - ANSWER Compensation in forms other than cash.
Social Security - ANSWER The federal Old Age, Survivors, Disability, and Health
Insurance program in which combines old age (retirement) insurance, survivors
insurance, disability insurance, hospital insurance (Medicare Part A), and
supplementary medical insurance (Medicare Part B) for the elderly.
Unemployment Insurance - ANSWER A federally mandated program to minimize
the hardships of unemployment through payments to unemployed workers, help
in finding new jobs, and incentives to stabilize employment.
Experience Rating - ANSWER The number of employees a company has laid off
in the past and the cost of providing them with unemployment benefits.
Workers Compensation - ANSWER State programs that provide benefits to
workers who suffer work-related injuries or illnesses, or to their survivors.
Family and Medical Leave Act (FMLA) - ANSWER Federal Law requiring
organizations with 50 or more employees to provide up to 12 weeks of unpaid
leave after childbirth or adoption; to care for a seriously ill family memory or for
an employee's own serious illness; or to take care of urgent needs that arise
when a spouse, child, or parent in the National Guard or Reserve is called to
active duty.
Patient Protection and Affordable Care Act - ANSWER Health care reform law
passed in 2010 that includes incentives and penalties for employers providing
health insurance as a benefit.
Consolidated Omnibus Budget Reconciliation Act (COBRA) - ANSWER Federal
Law that requires employers to permit employees or their dependents to extend
their health insurance coverage at group rates for up to 36 months following a
qualifying event, such as a layoff, reduction in hours, or the employees death.
Health Maintenance Organization - ANSWER A health care plan that requires
patients to receive their medical care from the HMO's health care professionals,
who are often paid a flat salary, and provides all services on a prepaid basis.
Preferred Provider Organization (PPO) - ANSWER A health care plan that
contracts with health care professionals to provide services at a reduced fee
and gives patients financial incentives to use network providers.
