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Under the FLSA,which of the following statements is true of child labor?


A) Children aged 18 and 19 may not be employed in hazardous occupations defined by the Department of Labor.
B) Children aged 14 and 15 may not be employed in any work associated with interstate commerce.
C) The FLSA's restrictions on the use of child labor apply to children younger than 18.
D) Children aged 18 and 19 may work only outside school hours, in jobs defined as nonhazardous, and for limited time periods.
E) All the states have laws requiring working papers or work permits for minors.

F) All of the above
G) A) and C)

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John is the head of the insurance claims department.John works for longer hours than his subordinates.However,John is not paid overtime for working more than 40 hours per week.Under the FLSA,which of the following will justify the organization's decision not to give John overtime pay?


A) John is not a U.S. citizen.
B) John comes from an economically strong background.
C) John is unmarried.
D) John is considered as an exempt employee.
E) John has lower educational qualifications than his subordinates.

F) C) and E)
G) C) and D)

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Which of the following statements is true of equal employment opportunity laws?


A) These laws guarantee equal pay for whites and minorities.
B) The goal of these laws is for employers to provide equal pay for equal work.
C) Job descriptions and job structures cannot help organizations demonstrate that they are upholding these laws.
D) These laws guarantee equal pay for men and women.
E) Under these laws, employers cannot tie differences in pay to business-related considerations.

F) B) and C)
G) A) and C)

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Research suggests that employees in the lower tier of the pay structure in a two-tier wage system are less satisfied than the top-tier employees.

A) True
B) False

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Sapheda Inc.,a heavy machinery company,has employees belonging to the age group of 17 to 30.Noah,a 17-year-old,is prohibited from working with heavy machinery tools.His work involves working in the mail room.Under the laws governing Fair Labor Standards Act (FLSA) ,which of the following will justify the organization's decision to forbid Noah from doing heavy machinery work?


A) Noah cannot be employed in hazardous occupations because he is 17 years old.
B) Noah is expected to work in a safe environment because he is male.
C) Noah is not a U.S. citizen, therefore he is prohibited from working in a hazardous environment.
D) Noah has not yet completed college, therefore he should only be given administrative duties.
E) Noah comes from an economically weaker background, therefore he is expected to perform clerical duties.

F) A) and C)
G) B) and E)

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Paying a salary does not necessarily mean that a job is exempt from overtime pay.

A) True
B) False

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What is a pay policy line? What is its relevance?

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Mathematically,a pay policy line shows t...

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Which of the following will most likely be a result of using an unplanned approach,in which each employee's pay is independently negotiated?


A) Dissatisfied employees
B) Equal pay distribution
C) Rates that are stable
D) Easy employment
E) Cost control

F) All of the above
G) B) and D)

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What are the limitations of using a job-based pay structure?

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Some of the limitations of job-based pay...

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Issues affecting an organization's pay structure do not affect its reputation in general.

A) True
B) False

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How does equity theory justify the high pay of CEOs?

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The issue of executive pay is relevant t...

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Which of the following statements is true according to the Davis-Bacon Act of 1931 and the Walsh-Healy Public Contracts Act of 1936?


A) Under these laws, individuals aged 18 and 19 may not be employed in hazardous occupations defined by the Department of Labor.
B) Federal contractors must pay their employees at rates at least equal to the prevailing wages in the area.
C) The overtime rate applies to the hours worked beyond 45 in one week.
D) Employers must pay a training wage to workers under the age of 15 for a period of up to 60 days.
E) Organizations can defend themselves against claims of discrimination by showing that they pay the going market rate.

F) A) and D)
G) B) and D)

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Assuming an organization wants to motivate employees through promotions,and assuming enough opportunities for promotions are available,the organization would want to:


A) increase the overlap from one level to the next.
B) reduce its compa-ratio to less than 1.
C) implement a broad-band pay structure.
D) limit the overlap from one pay range to the next.
E) use a fixed interval promotion policy.

F) A) and B)
G) A) and D)

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Both Thomas and his cousin,Alex,work for two different branches of the same organization.Both have the same level of experience in management.However,Thomas earns more than Alex.Under the laws governing Fair Labor Standards Act (FLSA) ,which of the following will justify the organization's decision to pay Thomas more than Alex?


A) Thomas lives in a location where living expenses are higher.
B) Alex is younger than Thomas.
C) Thomas is a U.S. citizen.
D) Alex is physically disabled.
E) Alex is a substance abuser.

F) A) and E)
G) B) and E)

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Pay policies are one of the most important human resource tools for:


A) reducing competition in the product market.
B) automating routine activities.
C) persuading customers that high quality is worth a premium price.
D) making decisions about product pricing.
E) encouraging desired employee behaviors.

F) B) and D)
G) A) and B)

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The Walsh-Healy Public Contracts Act of 1936:


A) requires that a lower "training wage" be paid to workers under the age of 20 for a period of up to 90 days.
B) mandates that employers pay higher wages for overtime, defined as hours worked beyond 40 hours per week.
C) covers construction contractors that receive more than $2,000 in federal money.
D) requires general contractors performing services on prime contracts in excess of $2,500 to pay service employees in various classes no less than the wage rates found prevailing in the locality.
E) covers all government contractors receiving $10,000 or more in federal funds.

F) C) and D)
G) A) and E)

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Which of the following statements is true about labor markets?


A) Organizations compete to sell labor in the labor market.
B) Competition for labor establishes the minimum an organization must pay to hire an employee for a particular job.
C) Changes in the CPI do not affect the labor market.
D) Cost-of-living considerations have little impact on labor-market rates.
E) An organization's competitors in labor markets only include companies with different products.

F) A) and E)
G) B) and E)

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Which of the following is a disadvantage of a pay structure that rewards employees for winning promotions?


A) It does not focus on setting pay for groups of jobs.
B) It does not make adjustments to a pay rate to reflect differences in labor markets.
C) It discourages employees from gaining valuable experience through lateral career moves.
D) It rewards employees for acquiring skills but does not provide a way to ensure that employees can use their new skills.
E) It places the employer at an economic disadvantage relative to other employers that pay the market rate, by raising the pay for some jobs.

F) D) and E)
G) A) and D)

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Overlapping _____ give the organization more flexibility in transferring employees among jobs,because transfers need not always involve a change in pay.


A) pay rates
B) pay ranges
C) pay policies
D) pay differentials
E) pay ranks

F) B) and C)
G) D) and E)

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Mark and Chloe hold the same position at Rue & West Bros.However,Mark earns more than Chloe.Which of the following will justify the organization's decision to pay Mark more than Chloe?


A) Mark meets higher productivity targets than Chloe.
B) Mark comes from an economically weaker background.
C) Mark is more skilled than Chloe because he is male.
D) Chloe is younger than Mark.
E) Chloe is not a U.S. citizen.

F) C) and D)
G) A) and E)

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