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Dessler11 - Chapter 11 Establishing Strategic Pay Plans...

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Chapter 11: Establishing Strategic Pay Plans Multiple Choice 1. _____ refers to all forms of pay or rewards going to employees and arising from their employment. a. Reimbursement b. Employee compensation c. Salary d. Benefits e. Remuneration (b; easy; p. 390) 2. Direct financial payments include all of the following except _____. a. wages b. insurance c. salaries d. incentives e. commissions (b; easy; p. 390) 3. Which of the following is categorized as an indirect payment portion of employee compensation? 4. John is a sales representative in a jewelry store. He typically works 40 hours per week and his pay is completely based on his sales. He earns a commission on every sale he makes. John’s pay is based on _____. 5. Which of the following factors affects the design of any pay plan? 211
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6. Which law allows the secretary of labor to set wage rates for laborers and mechanics employed by contractors working for the federal government? a. Davis-Bacon Act b. Walsh-Healey Public Contract c. Fair Wages Act d. Civil Rights Act e. Fair Labor Standards Act (a; difficult; p. 390) 7. The _____ sets basic labor standards for employees working on any government contract that amounts to more than $10,000. 8. Which compensation-related law contains minimum wage, maximum hours, overtime pay, equal pay, and child labor provisions? 9. Which of the following is addressed by the Fair Labor Standards Act? 10. The Fair Labor Standards Act covers workers employed in _____. a. manufacturing b. retailing c. agriculture d. service industries e. all of the above (e; easy; p. 391) 212
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11. Which law makes it illegal to discriminate against any individual with respect to compensation because of race, color, religion, sex, or national origin?
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