Which of the Following Statements About Pay Equity as a Compensation

question 20

Multiple Choice

Which of the following statements about pay equity as a compensation policy is true?

• A) It is rarely used because the cost of eliminating pay inequities runs about 20 to 25% of annual payroll.
• B) Eliminating pay inequities requires cutting the pay of some white male employees.
• C) Unions are adamantly opposed to pay equity policies.
• D) If a company has adhered to external market pay levels, it has automatically adjusted for pay inequities.
• E) Employees should perceive that they are paid fairly compared to others in the same organization given the contributions that they and others make to the organization.

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Definitions:

Cultural Ritualism

The practice and repetition of formalized actions and ceremonies in a culture, often imbued with symbolic meaning and importance.

Biological Causality

The concept that biological processes and phenomena are caused by underlying genetic, biochemical, or cellular factors.

Contextual Reference

The process of relating information to its context, which includes the conditions or circumstances that are relevant to the information's purpose or understanding.

Biological Causality

The concept that biological factors can cause certain phenomena, including behaviors or diseases.