As is known to all, the organization and management of wages and salaries are very complicated. Generally speaking, the Account Department is responsible for calculations of pay, while the Personnel Department is interested in discussions with the employees about pay.
If a firm wants to adopt a new wage and salary structure, it is essential that the firm should decide on a method of job evaluation and ways of measuring the performance of its employees. In order to be successful, that new pay structure will need agreement between Trade Unions and employers.
In job evaluation, all of the requirements of each job are defined in a detailed job description. Each of those requirements is given a value, generally in “points”, which are added together to give a total value for the job. For middle and higher management, a special method is used to evaluate managers on their knowledge of the job, their responsibility, and their ability to solve problems. Because of the difficulty in measuring management work, however, job grades for managers are often decided without reference to an evaluation system based on points.
In attempting to design a pay system, the Personnel Department should compare the value of each job with those in the job market. It should also consider economic factors such as the cost of living and the labor supply.
It is necessary that payment for a job should vary with any distinctions in the way that job is performed. Where it is simple to measure the work done, as in the work done with the hands, monetary encouragement schemes are often chosen; for indirect workers, where measurement is difficult, methods of additional payments are employed.
11. If a company wants its new pay structure to be successful, it is necessary to _______.
A. give the workers extra pay to encourage them
B. share the same opinion between the Trade Union and the employers
C. consult some problems associated with pay
D. adopt a special way to evaluate the performance of its employees
12. The methods of additional payments are adopted for indirect workers because __________.
A. they don't have a higher pay
B. the firm hasn't enough fund
C. the measurement of their work is very difficult
D. their work is less important than that of other workers
13. What should a firm consider in designing a new pay system?
A. The value of each job alone.
B. The method of calculating the pay.
C. The requirements of each job.
D. The labor supply and the cost of living.
14. It can be inferred from the passage that _______.
A. only the Accounts Department is involved in the management of salaries
B. different job performances should be given different payments
C. an evaluation system based on points is usually used to measure management work
D. evaluating management work makes no difference from other work
15. The main purpose of this passage is to _______.
A. explain how the performance of a job can be measured in points
B. describe the responsibilities of various departments
C. tell readers how a firm can succeed in adopting a new pay system
D. tell readers how difficult the management work is