In 2007 and 2008, What Happened for Only the Second

question 34

Multiple Choice

In 2007 and 2008, what happened for only the second time in U.S. history?

• A) Executive compensation became a controversial topic.
• B) CEOs were required to disclose their salary histories.
• C) CEOs were paid only five times more than average workers.
• D) Legislation that set rules for executive compensation passed.
• E) Overall, CEOs took paycuts for two years in a row.

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Definitions:

Seniority System

A system in a workplace where employee benefits such as promotions and layoffs are determined based on the length of service.

Strategic Objectives

High-level goals aligned with an organization's mission and vision, focused on achieving long-term success.

Compensation System

A structured plan designed by organizations to pay its employees, including wages, benefits, bonuses, and raises.

Pay Differentials

Variations in compensation among employees, often based on factors like job role, experience, education, location, or performance.