The HR Manager of a Company Thinks That They Have

question 18

Multiple Choice

The HR manager of a company thinks that they have too many narrow pay grades within the organization.By getting the support from upper management,the manager decided to consolidate existing pay grades and ranges into fewer pay grades and broader pay ranges in order to create a flatter organization in terms of compensation.This is an example of which pay structure variation?

• A)broadbanding
• B)two-tier pay system
• C)pay compression
• D)multiple-tier pay system

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Definitions:

Hybrid Wage System

A compensation strategy that combines elements of both hourly wages and salary, potentially including performance bonuses or commissions.

Administrative Employees

Employees who are responsible for office functions and tasks; they typically engage in non-manual work related to the general business operations of an organization.

Merit Increases

Salary raises awarded to employees based on their performance and contribution to the organization.

Lump-Sum Basis

A method of payment or compensation with a fixed total amount to be paid in one single sum, rather than through installments or percentages.