DSST Human Resource Management cheat sheet

HRM covers the practices an organization uses to acquire, develop, motivate, and retain people; core functions are staffing, training and development, performance management, compensation, safety, employee relations, and compliance.

HRM activities are typically grouped into four roles: administrative (records, payroll), operational (staffing, training delivery), strategic (workforce planning, talent strategy), and employee advocacy (voice, well-being).

Human capital theory: employees' knowledge, skills, and abilities are assets that appreciate with investment and depreciate without use; training and development spending is treated as investment, not pure cost.

Line managers carry day-to-day HR responsibility (assigning work, coaching, rating performance); HR staff design systems, advise, and ensure consistency and legal compliance.

HR metrics commonly tracked: turnover rate = separations ÷ average headcount; cost per hire = total recruiting cost ÷ number of hires; time to fill = days from requisition to acceptance.

Strategic HR alignment means HR practices are designed to support the organization's competitive strategy; a cost-leadership strategy favors efficient, standardized HR practices, a differentiation strategy favors selective staffing and heavy development.

Internal alignment (horizontal fit) means HR practices reinforce each other; vertical fit means they match business strategy; misfit between pay, appraisal, and staffing criteria undermines all three.

The Ulrich model splits HR into shared services (transactional), centers of expertise (design), HR business partners (strategy), and corporate HR (policy and governance).

HR ethics issues include privacy of employee data, fairness in selection, honesty in appraisals, and avoiding conflicts of interest in compensation decisions.

HR planning matches the supply of labor inside and outside the organization to forecast demand for labor; the gap is either a surplus (layoffs, reduced hours, attrition) or a shortage (hiring, training, overtime, contingent labor).

Demand forecasting methods: trend projection (extrapolating past staffing ratios), ratio analysis (sales per employee), managerial judgment, Delphi technique, and scenario planning.

Supply forecasting distinguishes internal supply (skills inventory, replacement charts, succession plans, Markov transition analysis) from external supply (labor market data, unemployment rates, graduation rates).

Turnover rate = (separations during period ÷ average number of employees during period) × 100; avoidable and unavoidable turnover should be separated because they call for different interventions.

Absenteeism rate = total days absent ÷ (average employees × workdays) × 100; chronic absenteeism predicts voluntary turnover and signals burnout or disengagement.

Succession planning identifies backup candidates for key positions using replacement charts (position-based) and talent pools (person-based); it reduces vacancy risk and signals career paths to high potentials.

A skills inventory records each employee's education, certifications, languages, and experience to enable internal matching; it must be updated and privacy-protected to be useful.

Workforce reductions should consider seniority, performance, skills needed for the future, and legal risk; WARN-type notice rules and disparate-impact exposure constrain how cuts are made.

Span of control and organizational structure decisions affect headcount plans: wider spans reduce management layers and cost but increase supervisory load per manager.

Selection validity: criterion-related validity correlates test scores with job performance; content validity shows test items sample job tasks; construct validity shows the test measures the intended trait.

Reliability is consistency of measurement; a test cannot be valid without reliability, but a reliable test can still be invalid. Test-retest and inter-rater reliability are common checks.

Structured interviews (same questions, anchored rating scales) outperform unstructured interviews in validity and reduce interviewer bias; panel interviews add reliability.

Job analysis produces the job description (tasks, duties, reporting lines) and job specification (knowledge, skills, abilities, and other characteristics required); it is the foundation for selection, training, and pay.

Training needs analysis has three levels: organizational (where training is needed and why), task (what must be learned), and person (who needs it). Skipping it produces training that is not job-relevant.

Kirkpatrick's four evaluation levels: reaction (trainee satisfaction), learning (knowledge gain), behavior (on-the-job application), and results (productivity, quality, retention, ROI).

Transfer of training is supported by practice with feedback, realistic conditions, supervisor support, and post-training reinforcement; most decay occurs when the work environment does not reward new behavior.

Onboarding reduces early turnover; realistic job previews (showing both positive and negative aspects) lower unrealistic expectations and improve later satisfaction and retention.

Development (long-term growth, mentoring, stretch assignments, 360-degree feedback) is distinguished from training (job-specific skill acquisition).

Performance appraisal purposes: administrative (pay, promotion, termination decisions) and developmental (feedback, coaching, training needs); combining both on one form creates tension and rating inflation.

Rating errors: halo (one trait colors all ratings), leniency/severity, central tendency, recency (recent events dominate), primacy, contrast (comparison with other ratees), and similar-to-me bias.

Behaviorally anchored rating scales (BARS) pair behavioral examples with scale points; behavior observation scales (BOS) count observed frequencies of behaviors.

Critical incident method records specific effective and ineffective behaviors as they occur, reducing recency bias and supporting feedback with concrete examples.

Forced distribution (fixed percentage in each rating category) reduces leniency but can be legally risky and demotivating when appraisal accuracy is low.

360-degree feedback collects input from supervisors, peers, subordinates, and customers; anonymity and development-only use increase candor.

Management by objectives (MBO) sets specific, measurable goals jointly; appraisal measures goal attainment, so goal clarity and controllability matter.

Appraisal interviews should be frequent and separate feedback from pay discussions where possible; due process, documentation, and an employee response opportunity reduce legal exposure.

Criterion deficiency means the appraisal misses important parts of the job; criterion contamination means it rates things outside the employee's control.

Compensation components: base pay, variable pay (bonuses, commissions, gainsharing, profit sharing), and benefits; total rewards also includes recognition, development, and work flexibility.

Job evaluation methods: ranking, classification (grade descriptions), point-factor (compensable factors with weights), and factor comparison; they establish internal equity, not market pay.

Market pricing uses salary surveys to set pay ranges; a pay range has a minimum, midpoint, and maximum, and a compa-ratio = actual pay ÷ range midpoint.

Pay compression occurs when new hires' pay approaches or exceeds that of experienced employees; it damages morale and is addressed with range adjustments or retention pay.

Incentive plans should tie pay to outcomes employees can influence; individual incentives suit independent work, gainsharing suits team productivity, profit sharing suits broad ownership of results.

Benefits legally mandated in the U.S. include Social Security, Medicare, unemployment insurance, and workers' compensation; others (health insurance, retirement, paid leave) are employer-provided or regulated by statute.

FLSA exempt employees (executive, administrative, professional) are paid on a salary basis and not entitled to overtime; nonexempt employees must receive overtime at 1.5 times regular rate beyond 40 hours per week.

Equal pay analysis compares pay for substantially equal work under similar conditions; differences must be explained by seniority, merit, quantity/quality of production, or a factor other than sex.

Executive compensation includes base salary, annual bonus, long-term incentives (stock options, restricted stock), and perquisites; disclosure and say-on-pay rules apply to public companies.

The Occupational Safety and Health Act (OSH Act, 1970) requires employers to provide a workplace free of recognized hazards and imposes a General Duty Clause where no specific standard exists.

OSHA recordkeeping: employers must log work-related injuries and illnesses meeting criteria (death, days away from work, restricted work, medical treatment beyond first aid, loss of consciousness, significant diagnosis) on the OSHA 300 log.

Hazard control hierarchy: elimination, substitution, engineering controls, administrative controls, and personal protective equipment (PPE) as the last line of defense.

Workers' compensation is a no-fault statutory system: employees give up tort suits against the employer and receive medical and wage-replacement benefits for work-related injuries.

Incident rate formula: (number of recordable incidents × 200,000) ÷ total hours worked; 200,000 = 100 employees × 40 hours × 50 weeks, the standard base for comparison.

Workplace violence prevention uses threat assessment, pre-employment screening, access control, and reporting channels; negligent hiring or retention claims arise when employers knew or should have known of danger.

Substance abuse programs combine testing policy, employee assistance programs (EAPs), and rehabilitation referral; testing must follow state law and collective bargaining agreements.

Ergonomics addresses musculoskeletal disorders through workstation design, tool selection, and work-rest scheduling; repetitive strain is a leading category of recordable illness.

Security programs protect people, property, and information: physical access control, background checks, cybersecurity policy, and emergency action plans with evacuation and communication protocols.

Title VII of the Civil Rights Act (1964) prohibits employment discrimination based on race, color, religion, sex (including pregnancy and sexual orientation under later interpretation), and national origin; it covers employers with 15 or more employees.

Disparate treatment is intentional discrimination; disparate impact is a neutral policy that disproportionately excludes a protected group and is not job-related or consistent with business necessity.

The four-fifths rule: a selection rate for a protected group below 80% of the highest group's rate is evidence of adverse impact.

Age Discrimination in Employment Act (ADEA) protects workers 40 and older; the Older Workers Benefit Protection Act sets conditions for valid waivers of ADEA claims.

Americans with Disabilities Act (ADA) prohibits discrimination against qualified individuals with disabilities and requires reasonable accommodation unless it causes undue hardship; medical inquiries are restricted.

Family and Medical Leave Act (FMLA) gives eligible employees up to 12 weeks of unpaid, job-protected leave per year for covered family and medical reasons; eligibility requires 12 months of service and 1,250 hours.

Fair Labor Standards Act (FLSA) sets minimum wage, overtime, child labor limits, and recordkeeping; the Equal Pay Act (1963) requires equal pay for substantially equal work.

Civil Rights Act of 1991 allows compensatory and punitive damages and jury trials for intentional discrimination and codifies disparate impact analysis.

Employee Polygraph Protection Act, Immigration Reform and Control Act (I-9 verification), and USERRA (reemployment rights for military service) are common exam items; affirmative action obligations arise for federal contractors under Executive Order 11246.

The National Labor Relations Act (Wagner Act, 1935) protects employees' rights to organize, bargain collectively, and engage in concerted activity; it created the NLRB to conduct elections and hear unfair labor practice charges.

Taft-Hartley Act (1947) added employer protections: bans closed shops, permits state right-to-work laws, defines union unfair labor practices, and allows national emergency injunctions.

Landrum-Griffin Act (1959) regulates internal union affairs, including a bill of rights for members, financial reporting, and election procedures.

Unfair labor practices by employers include interfering with organizing, discriminating against union supporters, refusing to bargain in good faith, and dominating a labor organization.

Union representation election: a showing of interest (commonly 30% of employees) triggers a petition; a majority of votes cast decides certification.

Collective bargaining covers mandatory subjects (wages, hours, terms and conditions of employment); permissive subjects may be bargained at either party's option.

A grievance procedure typically moves through steps: supervisor, higher management, and arbitration; arbitration awards are usually final and binding.

Impasse resolution: mediation (neutral facilitator), fact-finding (public recommendation), and interest arbitration (third party imposes terms, common in public sector).

Union security arrangements: union shop (must join after hire), agency shop (pay fees without joining), open shop (no requirement); right-to-work states prohibit compulsory union membership or fees.

HRM covers the practices an organization uses to acquire, develop, motivate, and retain people; core functions are staffing, training and development, performance management, compensation, safety, employee relations, and compliance.

HRM activities are typically grouped into four roles: administrative (records, payroll), operational (staffing, training delivery), strategic (workforce planning, talent strategy), and employee advocacy (voice, well-being).

Human capital theory: employees' knowledge, skills, and abilities are assets that appreciate with investment and depreciate without use; training and development spending is treated as investment, not pure cost.

Line managers carry day-to-day HR responsibility (assigning work, coaching, rating performance); HR staff design systems, advise, and ensure consistency and legal compliance.

HR metrics commonly tracked: turnover rate = separations ÷ average headcount; cost per hire = total recruiting cost ÷ number of hires; time to fill = days from requisition to acceptance.

Strategic HR alignment means HR practices are designed to support the organization's competitive strategy; a cost-leadership strategy favors efficient, standardized HR practices, a differentiation strategy favors selective staffing and heavy development.

Internal alignment (horizontal fit) means HR practices reinforce each other; vertical fit means they match business strategy; misfit between pay, appraisal, and staffing criteria undermines all three.

The Ulrich model splits HR into shared services (transactional), centers of expertise (design), HR business partners (strategy), and corporate HR (policy and governance).

HR ethics issues include privacy of employee data, fairness in selection, honesty in appraisals, and avoiding conflicts of interest in compensation decisions.

HR planning matches the supply of labor inside and outside the organization to forecast demand for labor; the gap is either a surplus (layoffs, reduced hours, attrition) or a shortage (hiring, training, overtime, contingent labor).

Demand forecasting methods: trend projection (extrapolating past staffing ratios), ratio analysis (sales per employee), managerial judgment, Delphi technique, and scenario planning.

Supply forecasting distinguishes internal supply (skills inventory, replacement charts, succession plans, Markov transition analysis) from external supply (labor market data, unemployment rates, graduation rates).

Turnover rate = (separations during period ÷ average number of employees during period) × 100; avoidable and unavoidable turnover should be separated because they call for different interventions.

Absenteeism rate = total days absent ÷ (average employees × workdays) × 100; chronic absenteeism predicts voluntary turnover and signals burnout or disengagement.

Succession planning identifies backup candidates for key positions using replacement charts (position-based) and talent pools (person-based); it reduces vacancy risk and signals career paths to high potentials.

A skills inventory records each employee's education, certifications, languages, and experience to enable internal matching; it must be updated and privacy-protected to be useful.

Workforce reductions should consider seniority, performance, skills needed for the future, and legal risk; WARN-type notice rules and disparate-impact exposure constrain how cuts are made.

Span of control and organizational structure decisions affect headcount plans: wider spans reduce management layers and cost but increase supervisory load per manager.

Selection validity: criterion-related validity correlates test scores with job performance; content validity shows test items sample job tasks; construct validity shows the test measures the intended trait.

Reliability is consistency of measurement; a test cannot be valid without reliability, but a reliable test can still be invalid. Test-retest and inter-rater reliability are common checks.

Structured interviews (same questions, anchored rating scales) outperform unstructured interviews in validity and reduce interviewer bias; panel interviews add reliability.

Job analysis produces the job description (tasks, duties, reporting lines) and job specification (knowledge, skills, abilities, and other characteristics required); it is the foundation for selection, training, and pay.

Training needs analysis has three levels: organizational (where training is needed and why), task (what must be learned), and person (who needs it). Skipping it produces training that is not job-relevant.

Kirkpatrick's four evaluation levels: reaction (trainee satisfaction), learning (knowledge gain), behavior (on-the-job application), and results (productivity, quality, retention, ROI).

Transfer of training is supported by practice with feedback, realistic conditions, supervisor support, and post-training reinforcement; most decay occurs when the work environment does not reward new behavior.

Onboarding reduces early turnover; realistic job previews (showing both positive and negative aspects) lower unrealistic expectations and improve later satisfaction and retention.

Development (long-term growth, mentoring, stretch assignments, 360-degree feedback) is distinguished from training (job-specific skill acquisition).

Performance appraisal purposes: administrative (pay, promotion, termination decisions) and developmental (feedback, coaching, training needs); combining both on one form creates tension and rating inflation.

Rating errors: halo (one trait colors all ratings), leniency/severity, central tendency, recency (recent events dominate), primacy, contrast (comparison with other ratees), and similar-to-me bias.

Behaviorally anchored rating scales (BARS) pair behavioral examples with scale points; behavior observation scales (BOS) count observed frequencies of behaviors.

Critical incident method records specific effective and ineffective behaviors as they occur, reducing recency bias and supporting feedback with concrete examples.

Forced distribution (fixed percentage in each rating category) reduces leniency but can be legally risky and demotivating when appraisal accuracy is low.

360-degree feedback collects input from supervisors, peers, subordinates, and customers; anonymity and development-only use increase candor.

Management by objectives (MBO) sets specific, measurable goals jointly; appraisal measures goal attainment, so goal clarity and controllability matter.

Appraisal interviews should be frequent and separate feedback from pay discussions where possible; due process, documentation, and an employee response opportunity reduce legal exposure.

Criterion deficiency means the appraisal misses important parts of the job; criterion contamination means it rates things outside the employee's control.

Compensation components: base pay, variable pay (bonuses, commissions, gainsharing, profit sharing), and benefits; total rewards also includes recognition, development, and work flexibility.

Job evaluation methods: ranking, classification (grade descriptions), point-factor (compensable factors with weights), and factor comparison; they establish internal equity, not market pay.

Market pricing uses salary surveys to set pay ranges; a pay range has a minimum, midpoint, and maximum, and a compa-ratio = actual pay ÷ range midpoint.

Pay compression occurs when new hires' pay approaches or exceeds that of experienced employees; it damages morale and is addressed with range adjustments or retention pay.

Incentive plans should tie pay to outcomes employees can influence; individual incentives suit independent work, gainsharing suits team productivity, profit sharing suits broad ownership of results.

Benefits legally mandated in the U.S. include Social Security, Medicare, unemployment insurance, and workers' compensation; others (health insurance, retirement, paid leave) are employer-provided or regulated by statute.

FLSA exempt employees (executive, administrative, professional) are paid on a salary basis and not entitled to overtime; nonexempt employees must receive overtime at 1.5 times regular rate beyond 40 hours per week.

Equal pay analysis compares pay for substantially equal work under similar conditions; differences must be explained by seniority, merit, quantity/quality of production, or a factor other than sex.

Executive compensation includes base salary, annual bonus, long-term incentives (stock options, restricted stock), and perquisites; disclosure and say-on-pay rules apply to public companies.

The Occupational Safety and Health Act (OSH Act, 1970) requires employers to provide a workplace free of recognized hazards and imposes a General Duty Clause where no specific standard exists.

OSHA recordkeeping: employers must log work-related injuries and illnesses meeting criteria (death, days away from work, restricted work, medical treatment beyond first aid, loss of consciousness, significant diagnosis) on the OSHA 300 log.

Hazard control hierarchy: elimination, substitution, engineering controls, administrative controls, and personal protective equipment (PPE) as the last line of defense.

Workers' compensation is a no-fault statutory system: employees give up tort suits against the employer and receive medical and wage-replacement benefits for work-related injuries.

Incident rate formula: (number of recordable incidents × 200,000) ÷ total hours worked; 200,000 = 100 employees × 40 hours × 50 weeks, the standard base for comparison.

Workplace violence prevention uses threat assessment, pre-employment screening, access control, and reporting channels; negligent hiring or retention claims arise when employers knew or should have known of danger.

Substance abuse programs combine testing policy, employee assistance programs (EAPs), and rehabilitation referral; testing must follow state law and collective bargaining agreements.

Ergonomics addresses musculoskeletal disorders through workstation design, tool selection, and work-rest scheduling; repetitive strain is a leading category of recordable illness.

Security programs protect people, property, and information: physical access control, background checks, cybersecurity policy, and emergency action plans with evacuation and communication protocols.

Title VII of the Civil Rights Act (1964) prohibits employment discrimination based on race, color, religion, sex (including pregnancy and sexual orientation under later interpretation), and national origin; it covers employers with 15 or more employees.

Disparate treatment is intentional discrimination; disparate impact is a neutral policy that disproportionately excludes a protected group and is not job-related or consistent with business necessity.

The four-fifths rule: a selection rate for a protected group below 80% of the highest group's rate is evidence of adverse impact.

Age Discrimination in Employment Act (ADEA) protects workers 40 and older; the Older Workers Benefit Protection Act sets conditions for valid waivers of ADEA claims.

Americans with Disabilities Act (ADA) prohibits discrimination against qualified individuals with disabilities and requires reasonable accommodation unless it causes undue hardship; medical inquiries are restricted.

Family and Medical Leave Act (FMLA) gives eligible employees up to 12 weeks of unpaid, job-protected leave per year for covered family and medical reasons; eligibility requires 12 months of service and 1,250 hours.

Fair Labor Standards Act (FLSA) sets minimum wage, overtime, child labor limits, and recordkeeping; the Equal Pay Act (1963) requires equal pay for substantially equal work.

Civil Rights Act of 1991 allows compensatory and punitive damages and jury trials for intentional discrimination and codifies disparate impact analysis.

Employee Polygraph Protection Act, Immigration Reform and Control Act (I-9 verification), and USERRA (reemployment rights for military service) are common exam items; affirmative action obligations arise for federal contractors under Executive Order 11246.

The National Labor Relations Act (Wagner Act, 1935) protects employees' rights to organize, bargain collectively, and engage in concerted activity; it created the NLRB to conduct elections and hear unfair labor practice charges.

Taft-Hartley Act (1947) added employer protections: bans closed shops, permits state right-to-work laws, defines union unfair labor practices, and allows national emergency injunctions.

Landrum-Griffin Act (1959) regulates internal union affairs, including a bill of rights for members, financial reporting, and election procedures.

Unfair labor practices by employers include interfering with organizing, discriminating against union supporters, refusing to bargain in good faith, and dominating a labor organization.

Union representation election: a showing of interest (commonly 30% of employees) triggers a petition; a majority of votes cast decides certification.

Collective bargaining covers mandatory subjects (wages, hours, terms and conditions of employment); permissive subjects may be bargained at either party's option.

A grievance procedure typically moves through steps: supervisor, higher management, and arbitration; arbitration awards are usually final and binding.

Impasse resolution: mediation (neutral facilitator), fact-finding (public recommendation), and interest arbitration (third party imposes terms, common in public sector).

Union security arrangements: union shop (must join after hire), agency shop (pay fees without joining), open shop (no requirement); right-to-work states prohibit compulsory union membership or fees.

HRM covers the practices an organization uses to acquire, develop, motivate, and retain people; core functions are staffing, training and development, performance management, compensation, safety, employee relations, and compliance.

HRM activities are typically grouped into four roles: administrative (records, payroll), operational (staffing, training delivery), strategic (workforce planning, talent strategy), and employee advocacy (voice, well-being).

Human capital theory: employees' knowledge, skills, and abilities are assets that appreciate with investment and depreciate without use; training and development spending is treated as investment, not pure cost.

Line managers carry day-to-day HR responsibility (assigning work, coaching, rating performance); HR staff design systems, advise, and ensure consistency and legal compliance.

HR metrics commonly tracked: turnover rate = separations ÷ average headcount; cost per hire = total recruiting cost ÷ number of hires; time to fill = days from requisition to acceptance.

Strategic HR alignment means HR practices are designed to support the organization's competitive strategy; a cost-leadership strategy favors efficient, standardized HR practices, a differentiation strategy favors selective staffing and heavy development.

Internal alignment (horizontal fit) means HR practices reinforce each other; vertical fit means they match business strategy; misfit between pay, appraisal, and staffing criteria undermines all three.

The Ulrich model splits HR into shared services (transactional), centers of expertise (design), HR business partners (strategy), and corporate HR (policy and governance).

HR ethics issues include privacy of employee data, fairness in selection, honesty in appraisals, and avoiding conflicts of interest in compensation decisions.

HR planning matches the supply of labor inside and outside the organization to forecast demand for labor; the gap is either a surplus (layoffs, reduced hours, attrition) or a shortage (hiring, training, overtime, contingent labor).

Demand forecasting methods: trend projection (extrapolating past staffing ratios), ratio analysis (sales per employee), managerial judgment, Delphi technique, and scenario planning.

Supply forecasting distinguishes internal supply (skills inventory, replacement charts, succession plans, Markov transition analysis) from external supply (labor market data, unemployment rates, graduation rates).

Turnover rate = (separations during period ÷ average number of employees during period) × 100; avoidable and unavoidable turnover should be separated because they call for different interventions.

Absenteeism rate = total days absent ÷ (average employees × workdays) × 100; chronic absenteeism predicts voluntary turnover and signals burnout or disengagement.

Succession planning identifies backup candidates for key positions using replacement charts (position-based) and talent pools (person-based); it reduces vacancy risk and signals career paths to high potentials.

A skills inventory records each employee's education, certifications, languages, and experience to enable internal matching; it must be updated and privacy-protected to be useful.

Workforce reductions should consider seniority, performance, skills needed for the future, and legal risk; WARN-type notice rules and disparate-impact exposure constrain how cuts are made.

Span of control and organizational structure decisions affect headcount plans: wider spans reduce management layers and cost but increase supervisory load per manager.

Selection validity: criterion-related validity correlates test scores with job performance; content validity shows test items sample job tasks; construct validity shows the test measures the intended trait.

Reliability is consistency of measurement; a test cannot be valid without reliability, but a reliable test can still be invalid. Test-retest and inter-rater reliability are common checks.

Structured interviews (same questions, anchored rating scales) outperform unstructured interviews in validity and reduce interviewer bias; panel interviews add reliability.

Job analysis produces the job description (tasks, duties, reporting lines) and job specification (knowledge, skills, abilities, and other characteristics required); it is the foundation for selection, training, and pay.

Training needs analysis has three levels: organizational (where training is needed and why), task (what must be learned), and person (who needs it). Skipping it produces training that is not job-relevant.

Kirkpatrick's four evaluation levels: reaction (trainee satisfaction), learning (knowledge gain), behavior (on-the-job application), and results (productivity, quality, retention, ROI).

Transfer of training is supported by practice with feedback, realistic conditions, supervisor support, and post-training reinforcement; most decay occurs when the work environment does not reward new behavior.

Onboarding reduces early turnover; realistic job previews (showing both positive and negative aspects) lower unrealistic expectations and improve later satisfaction and retention.

Development (long-term growth, mentoring, stretch assignments, 360-degree feedback) is distinguished from training (job-specific skill acquisition).

Performance appraisal purposes: administrative (pay, promotion, termination decisions) and developmental (feedback, coaching, training needs); combining both on one form creates tension and rating inflation.

Rating errors: halo (one trait colors all ratings), leniency/severity, central tendency, recency (recent events dominate), primacy, contrast (comparison with other ratees), and similar-to-me bias.

Behaviorally anchored rating scales (BARS) pair behavioral examples with scale points; behavior observation scales (BOS) count observed frequencies of behaviors.

Critical incident method records specific effective and ineffective behaviors as they occur, reducing recency bias and supporting feedback with concrete examples.

Forced distribution (fixed percentage in each rating category) reduces leniency but can be legally risky and demotivating when appraisal accuracy is low.

360-degree feedback collects input from supervisors, peers, subordinates, and customers; anonymity and development-only use increase candor.

Management by objectives (MBO) sets specific, measurable goals jointly; appraisal measures goal attainment, so goal clarity and controllability matter.

Appraisal interviews should be frequent and separate feedback from pay discussions where possible; due process, documentation, and an employee response opportunity reduce legal exposure.

Criterion deficiency means the appraisal misses important parts of the job; criterion contamination means it rates things outside the employee's control.

Compensation components: base pay, variable pay (bonuses, commissions, gainsharing, profit sharing), and benefits; total rewards also includes recognition, development, and work flexibility.

Job evaluation methods: ranking, classification (grade descriptions), point-factor (compensable factors with weights), and factor comparison; they establish internal equity, not market pay.

Market pricing uses salary surveys to set pay ranges; a pay range has a minimum, midpoint, and maximum, and a compa-ratio = actual pay ÷ range midpoint.

Pay compression occurs when new hires' pay approaches or exceeds that of experienced employees; it damages morale and is addressed with range adjustments or retention pay.

Incentive plans should tie pay to outcomes employees can influence; individual incentives suit independent work, gainsharing suits team productivity, profit sharing suits broad ownership of results.

Benefits legally mandated in the U.S. include Social Security, Medicare, unemployment insurance, and workers' compensation; others (health insurance, retirement, paid leave) are employer-provided or regulated by statute.

FLSA exempt employees (executive, administrative, professional) are paid on a salary basis and not entitled to overtime; nonexempt employees must receive overtime at 1.5 times regular rate beyond 40 hours per week.

Equal pay analysis compares pay for substantially equal work under similar conditions; differences must be explained by seniority, merit, quantity/quality of production, or a factor other than sex.

Executive compensation includes base salary, annual bonus, long-term incentives (stock options, restricted stock), and perquisites; disclosure and say-on-pay rules apply to public companies.

The Occupational Safety and Health Act (OSH Act, 1970) requires employers to provide a workplace free of recognized hazards and imposes a General Duty Clause where no specific standard exists.

OSHA recordkeeping: employers must log work-related injuries and illnesses meeting criteria (death, days away from work, restricted work, medical treatment beyond first aid, loss of consciousness, significant diagnosis) on the OSHA 300 log.

Hazard control hierarchy: elimination, substitution, engineering controls, administrative controls, and personal protective equipment (PPE) as the last line of defense.

Workers' compensation is a no-fault statutory system: employees give up tort suits against the employer and receive medical and wage-replacement benefits for work-related injuries.

Incident rate formula: (number of recordable incidents × 200,000) ÷ total hours worked; 200,000 = 100 employees × 40 hours × 50 weeks, the standard base for comparison.

Workplace violence prevention uses threat assessment, pre-employment screening, access control, and reporting channels; negligent hiring or retention claims arise when employers knew or should have known of danger.

Substance abuse programs combine testing policy, employee assistance programs (EAPs), and rehabilitation referral; testing must follow state law and collective bargaining agreements.

Ergonomics addresses musculoskeletal disorders through workstation design, tool selection, and work-rest scheduling; repetitive strain is a leading category of recordable illness.

Security programs protect people, property, and information: physical access control, background checks, cybersecurity policy, and emergency action plans with evacuation and communication protocols.

Title VII of the Civil Rights Act (1964) prohibits employment discrimination based on race, color, religion, sex (including pregnancy and sexual orientation under later interpretation), and national origin; it covers employers with 15 or more employees.

Disparate treatment is intentional discrimination; disparate impact is a neutral policy that disproportionately excludes a protected group and is not job-related or consistent with business necessity.

The four-fifths rule: a selection rate for a protected group below 80% of the highest group's rate is evidence of adverse impact.

Age Discrimination in Employment Act (ADEA) protects workers 40 and older; the Older Workers Benefit Protection Act sets conditions for valid waivers of ADEA claims.

Americans with Disabilities Act (ADA) prohibits discrimination against qualified individuals with disabilities and requires reasonable accommodation unless it causes undue hardship; medical inquiries are restricted.

Family and Medical Leave Act (FMLA) gives eligible employees up to 12 weeks of unpaid, job-protected leave per year for covered family and medical reasons; eligibility requires 12 months of service and 1,250 hours.

Fair Labor Standards Act (FLSA) sets minimum wage, overtime, child labor limits, and recordkeeping; the Equal Pay Act (1963) requires equal pay for substantially equal work.

Civil Rights Act of 1991 allows compensatory and punitive damages and jury trials for intentional discrimination and codifies disparate impact analysis.

Employee Polygraph Protection Act, Immigration Reform and Control Act (I-9 verification), and USERRA (reemployment rights for military service) are common exam items; affirmative action obligations arise for federal contractors under Executive Order 11246.

The National Labor Relations Act (Wagner Act, 1935) protects employees' rights to organize, bargain collectively, and engage in concerted activity; it created the NLRB to conduct elections and hear unfair labor practice charges.

Taft-Hartley Act (1947) added employer protections: bans closed shops, permits state right-to-work laws, defines union unfair labor practices, and allows national emergency injunctions.

Landrum-Griffin Act (1959) regulates internal union affairs, including a bill of rights for members, financial reporting, and election procedures.

Unfair labor practices by employers include interfering with organizing, discriminating against union supporters, refusing to bargain in good faith, and dominating a labor organization.

Union representation election: a showing of interest (commonly 30% of employees) triggers a petition; a majority of votes cast decides certification.

Collective bargaining covers mandatory subjects (wages, hours, terms and conditions of employment); permissive subjects may be bargained at either party's option.

A grievance procedure typically moves through steps: supervisor, higher management, and arbitration; arbitration awards are usually final and binding.

Impasse resolution: mediation (neutral facilitator), fact-finding (public recommendation), and interest arbitration (third party imposes terms, common in public sector).

Union security arrangements: union shop (must join after hire), agency shop (pay fees without joining), open shop (no requirement); right-to-work states prohibit compulsory union membership or fees.