TRUE/FALSE
1.Employee compensation is all forms of financial returns and tangible services and benefits employees receive as part of an employment relationship.
2.The impact of labor costs on competitive advantage is particularly strong in service-related organizations.
3.Labor costs have risen sharply in recent years due to escalating social security taxes.
4.An organization can generally expect that an individual’s satisfaction with his/her compensation is simply a function of the amount of compensation received.
5.People judge the equity of their pay by comparing their outcome-to-input ratio with another person’s ratio.
6.Contrary to equity theory predictions, tension-reducing responses occur only when employees believe they are underpaid.
7.The focus of analysis in job evaluation should be on the individual currently performing the job and not the requirements of the job.
8.Job evaluation is the systematic process for determining the relative worth of a job.
9.Internal consistency exists when employees perceive their pay is fair relative to pay received by workers in other organizations who hold similar positions.
10.Validity is achieved when two people evaluating the same job provide similar ratings.