1. Compensation Review 1.The only key strategy that is important in developing a compensation system is motivation. 2.The relative pay for different jobs in an organization is known as pay level. 3.The labor market that determines pay is related to the goods and service market. 4.Job evaluation determines the employee’s performance and whether or not they get a pay raise.

2. Compensation Review, p2 5. The Walsh Healey Act deals with equal employment opportunity in pay matters. 6. The Davis–Bacon Act of 1931 established the requirement for paying prevailing wages on public works projects such as WPA and CCC. 7. Prevailing wages are the average wage paid for a job in a certain geographic location. 8. The minimum wage is determined by the Department of Labor every two years.

3. Compensation Review, p3 9. The FLSA established the standard for overtime pay beyond 40 hours per week. 10. The current federal minimum wage is $6.55 per hour. 11. The characteristics of a job that the organization values and chooses to pay for are called compensable factors. 12. Pay surveys are used to determine employee perceptions of the company’s pay system. 13. The Federal government uses the GS system to pay its employees.

4. Compensation Review, p4 14. The pay ranking system is based on a point manual. 15. A steep pay policy line usually indicates that the company is generous in its pay structure. 16. Pay grades indicate the clustering of job pay rates and evaluation points. 17. Pay ranges usually indicate the high and low parts of a pay grade. 18. Pay differentials are paid to compensate for undesirable working schedules and conditions.

5. Name that Benefit or the Most Appropriate Benefit Category 1.Old age benefit starting at age 62 2.26 weeks of eligibility initially 3.Reduced fee contract for health care 4.Nursing home coverage 5.Specified level of retirement income 6.12 Weeks of unpaid leave 7.Work-related injury or illness 8.Child care 9. Take your dog to work day

6. N ame that Benefit or the Most Appropriate Benefit Category, p2 10. Required medical care only from a very limited list of health care professionals 11. Vacations, holidays 12. Specific investment into a retirement plan 13. COBRA 14. Payment of relocation expenses 15. Both parties pay into a retirement plan 16. Part of the Social Security Act 17. 529 savings plan 18. ERISA 19. Helping employees with personal problems

7. Name that Benefit or the Most Appropriate Benefit Category, p3 20. SS, UC, WC, FMLA, PP&ACA