Job Offers and job offer process
True / False Questions
18. Upon acceptance, a formal job offer in which consideration is provided to employees becomes a contract.
True False
19. Terms and conditions of employment offered by employers unintentionally are not legally enforceable.
True False
20. With a tight labor market, the organization will be in a position to provide lower cost offers.
True False
21. The strategic approach to job offers involves considering the total package of extrinsic and intrinsic rewards that the offered job will provide to the finalist.
True False
22. An organization should provide a definite starting date for an offer, or else the acceptance and consideration of the offer occur whenever the new hire actually begins to work.
True False
23. Most organizations provide some form of specific "just cause" guarantee regarding terminations during their job offers.
True False
24. One reason organizations often opt out of flat pay rates in favor of differential pay rates, is because job applicants are similar in KSAO quality.
True False
25. The use of short-term incentive pay, like commissions or production bonuses, is common among private sector organizations.
True False
26. Hiring bonuses tend to enhance employee performance motivation.
True False
27. The least common form of long-term variable pay in the private sector is the cost of living adjustment.
True False
28. Hiring bonuses can be problematic because recipients of these bonuses might take the bonus and then quit soon after.
True False
29. A hot skill premium is a permanent pay premium added to the regular base pay to account for market escalation in pay for certain skills in extreme shortage.
True False
30. Non-compete agreements that would keep employees from indefinitely practicing their trade or profession are not enforceable.
True False
31. A non-compete agreement restricts a departing employee from competing against the organization.
True False
32. Golden handcuff agreements legally bar employees from quitting a job for a specific period of time.
True False
33. Written job offers should normally contain terms of acceptance that require acceptance without revision.
True False
Multiple Choice Questions
34. Which of the following is likely to be a contingency related to a job offer?
A. satisfactory reference checks
B. job salary
C. job benefits
D. job vacation privileges
35. Which of the following is not a choice involved in a strategic approach to job offers?
A. determining a compelling offer the finalists will find difficult to turn down
B. deciding which short and long term pressures to respond to in an offer
C. deciding on specific pay levels that will apply to all individuals
D. determine whether there will be a "standard offer" for all finalists or whether "enhanced offers" will be possible for some finalists
36. A _____ contract provides certainty to both the new hire and the organization regarding the length of the employment relationship.
A. variable premium
B. fixed annuity
C. fixed-term
D. latent variable
37. Flat pay rate job offers are least appropriate for _______.
A. situations where applicants have very dissimilar KSAOs
B. jobs with a plentiful supply of applicants
C. situations where management desires to avoid inequities in starting pay among new employees
D. jobs where applicants have KSAOs of similar quality
38. Terms and conditions that the organization states the employee is entitled to upon departure from the organization constitute _________.
A. pay rates
B. health benefits
C. severance packages
D. life insurance
39. Long-term variable pay plans provide employees ownership opportunities as the value of the organization increases are applicable only in the ____.
A. public sector
B. private sector
C. technology sector
D. none of the above
40. Which of the following is true regarding long-term variable pay?
A. Stock options qualify for special tax treatment for employees.
B. Small public organizations are more likely to provide stock options than large public organizations.
C. Stock options guarantee a fixed rate of return on investment.
D. None of the above
41. Studies of job seekers graduating from hotel administration and engineering programs showed that job offers involving _____ are seen more favorably.
A. pay contingent on performance
B. pay raises based on group performance
C. a flexible benefits package
D. pay pegged to skills
42. A _____ is a right to purchase a share of stock for a predetermined price at a later date.
A. stock option
B. profit share
C. realized dividend
D. mutual fund
43. A temporary pay premium added to the regular base pay of an employee to account for a temporary market escalation in pay for certain skills in extreme shortage is called a(n) ____________.
A. hot skill premium
B. tight labor market adjustment
C. key skill premium
D. none of the above
44. ______ prohibit current or departing employees from the unauthorized use or disclosure of information during or after employment.
A. Non-compete agreements
B. Retainers
C. Confidentiality clauses
D. Mixed-motive contracts
45. Non-compete agreements should be drafted in such a way that they cover ____.
A. high-value employees
B. experienced employees
C. all employees
D. only managerial, technical, and scientific staff
Job Offer Process
True / False Questions
46. Organizations can gauge the likely reactions of job applicants to job offers not only by conducting formal research, but also by gathering information about various preferences from the offer recipient during the actual recruitment/selection process.
True False
47. Access to typical salary information for various occupations or job titles is very hard to come by, especially for job seekers.
True False
48. Applicant dishonesty is a common problem as relates to the reporting of the applicant's current salary.
True False
49. A currently employed offer receiver normally incurs costs for leaving and will expect a "make whole" offer amounting to 20-30% of the offer receiver's current base pay.
True False
50. The lowball strategy will be especially effective for desperate or unknowledgeable employees.
True False
51. An advantage of the "competitive strategy" for negotiating initial job offers is that this strategy repeatedly yields acceptances from the highest quality (KSAOs) applicants.
True False
52. When job offer negotiating strategies are to be used as part of an aggressive EEO/AA recruitment program, the strategy most appropriate to be used in such a situation is the "competitive strategy."
True False
53. When rejecting job applicants, most organizations do so with a rejection message to the applicant that is short and vague in content.
True False
Multiple Choice Questions
54. In using information about competitors to structure job offers, which of the following statements is not useful as a general guideline?
A. It makes a difference who the competitors are.
B. Competitive offers should always be matched to ensure acceptance.
C. Analysis of competitive advertisements should be performed in order to have the "market information" needed to prepare effective job offers.
D. Trade associations should be consulted for competitive information whenever possible.
55. The most sensible approach for addressing the issue of applicant truthfulness would be to ________.
A. receive applicant information in good faith since the majority of applicants will be honest and it is not fair to inconvenience everyone with more verification because of a few "bad apples"
B. treat applicants with trust and they will respond with honesty in most cases
C. have applicants provide independent, third-party documentation of all job information provided on application blanks
D. verify the applicant information provided that is deemed most vital
56. The most commonly negotiated element of a job offer is ___.
A. severance packages
B. educational assistance
C. salary
D. paid time off
57. As a general rule concerning job offers, it can be said that __________.
A. "low ball" job offers are expensive to the organization
B. "competitive" job offers have no important drawbacks
C. "competitive" job offers tend to leave room to negotiate
D. "competitive" offers usually stimulate the most positive reactions on the part of offer recipients
58. The sales approach to presenting a job offer has been adopted by many organizations because ________.
A. mechanical presentations of job offers have been proven not to work
B. they apply to all situations
C. they cost less than mechanical presentations
D. they may increase the likelihood of bringing job offers to closure
59. Most rejection messages sent to applicants are _________.
A. specific in terms of the reason for the rejection
B. not conveyed by formal means
C. vague in content
D. designed carefully to "soften the blow" of the rejection
60. Which of the following statements about reneging on job offers is false?
A. reneging is often caused by sudden changes in circumstances, such as a change in health status
B. there are substantial legal concerns about reneging
C. most employers feel the level of reneging has increased dramatically in recent years
D. solid evidence on reneging and why it occurs is lacking