MGT 420 FINAL STUDY GUIDE

Pay Structure

Pay Structure

the way in which an organization applies pay rates and financial rewards to different jobs, skills, or competencies

Reward System

The policies, procedures, and practices used by an organization to determine the amount and types of returns individuals, teams, and the organization receive in exchange for their membership and contributions

Total compensation

package of compensation and benefits that employees receive

Relational returns

Non-monetary incentives and rewards, such as new learning and developmental opportunities, enriched and challenging work, job security, and recognition

benefits

Employee rewards that are sometimes referred to as indirect pay and include health, life, and disability insurance; retirement programs; and work-life balance programs

equity theory

a theory of motivation that suggests that employee motivation at work is driven largely by their sense of fairness

organizational justice theory and the types of justice

the extent to which an organization treats people fairly. Organizational justice includes fairness related to outcomes, procedures, and interpersonal interactions

internal equity

The fairness of pay rates across jobs within an organization

compa-ratio

A ratio that reflects how much employees are actually paid for a given job or pay grade compared to the espoused pay structure and policies, and it can be used to assess whether systematic compression or inversion is occurring

job structure

the ranking of jobs based on their respective worth.

What is job evaluation?

Process in which subject matter experts determine the relative worth of jobs within an organization

What is the point-factor method in job evaluation?

An approach where a team of experts identifies compensable factors, develops scales and weights, and assigns points to jobs based on these factors

broad banding

the practice of grouping jobs in a company into a few levels with a large difference between the lowest paid and the highest paid in each level

market strategies

creating content that promotes your company's objectives, products, and services to your existing employee

pay for performance

encourage your employees to hit their performance goals by offering them a monetary incentive

piecework plans

form of work in which employees are paid not on the basis of working time, but on the basis of their work performance

traditional pay plan

employees receive compensation based on a fixed hourly pay rate or annual salary

intrinsic motivation

behavior driven by internal reward

extrinsic motivation

behaviors exhibited by an individual driven by external stimuli and incentives

reinforcement theory and who developed it

an employer can influence and change the behaviour of employees through reinforcement, punishment, or extinction

B.F. Skinner

expectancy theory

emphasizes the connection between effort, rewards, and goals

valence

how much an individual values the reward

pay plans

A particular table or array of pay rates prescribed by law or other authoritative source that establishes the basic pay rates for certain employees

profit sharing

a way for employers to provide employees with a portion of the business's profits, based on quarterly or annual earnings

stock option

an agreement between an employer and employee that allows an employee to buy a fixed number of shares of company stock at a specific price, usually within a set period of time

ESOP

an employee benefit plan that gives workers ownership interest in the company in the form of shares of stock

FICA

FICA is a U.S. federal payroll tax. It stands for the
Federal Insurance Contributions Act and is deducted
from each paycheck

social security

provides a range of programs to afford you a basic level of benefits in the event of your retirement, death, or disability

401(K)

a defined contribution plan in which the employee and employer contribute to the account up to an annual limit set by the IRS

403(b)

a retirement plan offered by public schools and certain 501(c)(3) tax-exempt organizations

retirement age

a legal age that must be reached before a employee is required to retire --- between the ages of 55 and 60

FMLA

provides certain employees with up to 12 weeks of unpaid, job-protected leave per year

traditional care plans

a fee-for-service insurance plan in which you pay a monthly premium or fee to cover the cost of the health care plan

managed care plans

health insurance that contracts with providers for quality healthcare at lower costs for members

short term care

a type of care that is typically provided for a few weeks or months

HMO

A type of health insurance plan that usually limits coverage to care from doctors who work for or contract with the HMO. It generally won't cover out-of-network care except in an emergency

PPO

a subscription-based, reduced-rate medical care arrangement between subscribing members and a contracted network of preferred medical providers

POS

the degree to which employees believe that their organization values their contributions and cares about their well-being and fulfills socioemotional needs

HDHP

A plan with a higher deductible than a traditional insurance plan.

CDHP

PPO health insurance plan with a higher deductible but lower premium than traditional plans

defined benefit

one set up to provide a predetermined retirement benefit to employees or their beneficiaries, either in the form of a certain dollar amount or a specific percentage of compensation

defined contribution

does not promise a specific amount of benefits at retirement

IRA

a retirement savings account set up with a financial institution or brokerage firm that offers tax breaks for those investing income for their retirement

wellness

the overall well-being of an individual employee or group of employees

sick leave

a paid absence from duty

flextime

an arrangement that allows an employee to alter the starting and/or end time of her/his workday

PTO

compensated time away from work, provided by an employer to employees for them to use as they see fit

labor relations

Managing in response to labor laws relating to unions and collective bargaining

employee relations

The collective relationships between different employees as well as between employees and management in an organization

employee handbook

helps employees get acquainted with everything they need to be successful and safe in the workplace

Norris-LaGuardia Act

outlawed yellow-dog contracts (pledges by workers not to join a labor union) and further restricted the use of court injunctions in labor disputes against strikes, picketing and boycotts

NLRA

protects workplace democracy by providing employees at private-sector workplaces the fundamental right to seek better working conditions and designation of representation without fear of retaliation

LMRA

prohibits unions from engaging in unfair labor practices

collective bargaining

the process in which working people, through their unions, negotiate contracts with their employers to determine their terms of employment

right to work

if employees decide to form a union, you may not be fired if you decide not to join

at will

an employment agreement that can be terminated at any time, by either the employer or the employee, for any reason that is not illegal, or for no reason at all

negotiation

a strategic process of agreeing between two or more individuals, teams, or groups

BATNA

a course of action that a party engaged in negotiations has determined should be taken if talks fail and no agreement can be reached

alternative dispute resolution types

Any procedure which is used in lieu of a formal process or litigation to resolve conflicts and issues in controversy

arbitrator

hear and decide disputes between opposing parties

mediator

to act as an impartial third party who facilitates a meeting between two or more people in dispute, to help them reach an agreement

conflict management

the use of techniques to resolve disagreements or control the level of discord

steps to forming a union

bargaining unit, authorization cards, NLRB -- organization/company, campaign, election

workplace injury

an event or exposure in the work environment either caused or contributed to the resulting condition or significantly aggravated a pre-existing condition

workplace accident

an unforeseen event in the workplace that results in an injury, or a casualty, to an employee

safety behavior

the application of behavioral research on human performance to the problems of safety in the workplace

safety compliance behavior

ensures adherence to regulations, minimizing risks and promoting a secure environment

safety participation behavior

Provide frequent and regular feedback to show employees that their safety and health concerns are being heard and addressed

safety motivation

an individual's willingness to engage in safety behaviors and the value attached to those behaviors

safety climate

shared employee perceptions of the policies, practices, and procedures concerning safety

stressors

the harmful physical and emotional responses that occur when the requirements of the job do not match the capabilities, resources, or needs of the worker

examples of stressors

bad management, poor communication, lack of involvement, unfairness, and harassment

open office

a working environment where there are no internal walls and no divided, smaller offices

ergonomics

the practice of making the work environment safe and productive for the worker

OSHA

guarantees workers the right to a safe and sanitary working environment and lays out guidelines to help employers achieve this goal

Bargaining Unit

The group of EEs that are going to potentially be represented by the union; the EEs that would go through an election

Authorization cards

Cards signed by employees to indicate that they want union representation.

NLRB ----- Organization/Company

independent federal agency that protects the rights of private sector employees to join together, with or without a union, to improve their wages and working conditions

Campaign

a series of operations to accomplish a goal

Election

the process of voting to choose a winner

4 elements ACA

free prevention care, individual mandate, patient's bill of rights, health insurance marketplace

free prevention care

Routine health care that includes screenings, check-ups, and patient counseling to prevent illnesses, disease, or other health problems

individual mandate

Individuals that do not have health coverage may have to pay a tax penalty or a "shared responsibility payment

patient's bill of rights

helps define what people can expect in certain health related situations

health insurance marketplace

A service that helps people shop for and enroll in health insurance

Job family

a group of positions that involve work in the same functional occupation and have related core knowledge and background requirements

pay grade

a system used by employers to categorize jobs based on their level of responsibility, skills required, and experience

parts of medicare

Part A provides inpatient/hospital coverage.
Part B provides outpatient/medical coverage.
Part C offers an alternate way to receive your Medicare benefits
Part D provides prescription drug coverage

AHCCCS

Arizona's Medicaid program designed to deliver quality health care under managed care

gainsharing

a system of management in which an organization seeks higher levels of performance through the involvement and participation of its people