Free Human Resource Management MCQs with Answers

• A. pay ranges
• B. grade ranges
• C. similar jobs grades
• D. anchoring pay ratings

Explanation: Pay ranges are the levels or progression of pay attached to a grade, often showing minimum-to-maximum rates or steps linked to service and…

• A. external equity
• B. collective equity
• C. individual equity
• D. internal equity

Explanation: Internal equity means judging whether a job’s pay is fair compared with the pay of other jobs within the same organization.

• A. under paid
• B. over paid
• C. regularly paid
• D. non paid internees

Explanation: Equity theory focuses on employees’ comparisons of their input-output ratio with that of others, especially when they perceive…

• A. selection of compensable factors
• B. selection of intuitive factors
• C. selection of logical factors
• D. selection of comprehensive factorsGet Executive Coaching

Explanation: Compensable factors are the job characteristics used to compare jobs for evaluation, such as skill, effort, responsibility, and working…

• A. direct pay
• B. indirect pay
• C. compensation
• D. direct recruitment

Explanation: Commission is direct pay because it is paid directly to a salesperson and is normally linked to sales performance.

• A. compensable factors
• B. intuitive factors
• C. logical factors
• D. comprehensive factorsMcqs Website Access

Explanation: Compensable factors are the basic job attributes used in job evaluation, such as skill, effort, responsibility, and working conditions.

• A. broad banding
• B. less branding
• C. competency model
• D. skill based pay model

Explanation: Broad banding combines many narrow salary grades into a small number of wide pay bands.

• A. the job itself
• B. the qualification only
• C. the skills and knowledge only
• D. the training completed only

Explanation: A job's pay rate is primarily based on the value, duties, responsibilities and working conditions of the job itself.

• A. combine ratings
• B. rank jobs
• C. selecting compensable factors
• D. select and group jobsTry Asset Software

Explanation: Grouping jobs into defined categories or levels reduces the need to compare every job directly with every other job.

• A. point method
• B. job classification
• C. alternative ranking method
• D. aligned reward strategy

Explanation: Job grading is another name for job classification because jobs are placed into predefined grades or classes according to their duties and…

• A. classes
• B. grades
• C. rows
• D. columnsGet Executive Coaching

Explanation: In job classification, a class is a group of jobs with similar duties, responsibilities and requirements.

• A. problem solving
• B. creativity
• C. technical knowledge and expertise
• D. all of above

Explanation: Professional jobs commonly receive compensation consideration for technical expertise, creativity and problem-solving responsibility.

• A. creativity
• B. problem solving
• C. training
• D. Both A and BMcqs Website Access

Explanation: Engineers and scientists usually perform analytical work that depends on both creative thinking and problem-solving ability.

• A. salary
• B. bonuses
• C. commissions
• D. stock options for employees

Explanation: Base salary forms the stable foundation of an executive's compensation package, while bonuses, commissions and stock options are variable…

• A. benchmark jobs
• B. salary survey
• C. permanent job
• D. temporary jobHire Resume Writers

Explanation: A benchmark job is a well-known, stable job whose duties and market value can be used to compare and arrange the relative worth of other…

• A. logical factors
• B. comprehensive factors
• C. compensable factors
• D. intuitive factors

Explanation: Compensable factors are job characteristics that justify differences in pay, such as required skills, responsibility and working…

• A. job description
• B. job specification
• C. job evaluation
• D. job analysis

Explanation: Job evaluation determines the relative worth of jobs by comparing their duties, responsibilities and requirements.

• A. secondary equity
• B. collective equity
• C. primary equity
• D. individual equity

Explanation: Individual equity concerns whether an employee's pay is fair compared with the pay of other employees within the same firm.

• A. direct financial payments
• B. indirect financial payments
• C. paid bonuses
• D. Both A and B

Explanation: Pay rates are part of direct financial compensation, while benefits such as insurance are indirect financial compensation.

• A. equity theory of motivation
• B. equity theory of salaries
• C. equity theory of wages
• D. equity theory of compression

Explanation: Equity theory of motivation says employees compare their contributions and rewards with those of others and seek a fair balance.