When Using Transfers or Promotions to Deal with a Labor

question 2

Multiple Choice

When using transfers or promotions to deal with a labor surplus in order to avoid a layoff an organization must first consider that:

• A) early retirement packages must be the first approach.
• B) compensation costs may increase.
• C) the employees they want to transfer may not have the necessary skills to perform the new jobs.
• D) a job analysis must be completed.
• E) employees cannot be laid off after they have been transferred.

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Definitions:

Other-Than-Temporary

A classification for a decline in the value of an investment or asset when the loss is not expected to be recovered in the short term, often requiring the asset to be written down to its reduced value permanently.

Unrealized Losses

Losses that result from holding on to an asset that has decreased in price but has not yet been sold by the owner.

Comprehensive Income

The total change in equity for a reporting period other than from transactions with owners, including all revenues, expenses, gains, and losses.

Trading Portfolio

A collection of financial assets such as stocks, bonds, commodities, currencies, and derivatives held by an institution or individual, primarily for the purpose of short-term trading and profiting from market movements.