During Performance Appraisals, Heather, the Quality Supervisor at a Spinning

question 138

Multiple Choice

During performance appraisals, Heather, the quality supervisor at a spinning mill, always gives the highest rating to Gloria, a carpet designer, because both of them speak the same language. In the context of performance appraisals, which of the following does this scenario best illustrate?

• A) Positive leniency
• B) Halo effect
• C) Employee separation
• D) Negative leniency

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Definitions:

Nominal Wages

The wages paid to employees measured in current money, without adjustment for inflation or purchasing power.

Price Level

An index that measures the average level of prices of goods and services in an economy over a period of time.

Real Wages

Wages adjusted for inflation, reflecting the true purchasing power of income received by workers.

Nominal Income

The amount of money earned in current dollars, without adjustment for inflation, affecting purchasing power over time.