BUS 335 Quiz - Factors and Costs of Employee Turnover
1. BUS 335 Week 11 Quiz – Strayer
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Quiz 10 Chapter 14
Student: ___________________________________________________________________________
1. There are several positive, functional outcomes of employee turnover. True False
2. Avoidable turnover is that which could have been prevented by actions like a pay raise or a new job
assignment. True False
3. An employee's perceived desirability of movement can depend on reasons that have little or nothing to
with the job. True False
4. An employee's overall intention to quit depends on the desirability of leaving, ease of leaving, and
alternatives available to the employee. True False
5. Employees who have a high intention to quit necessarily end up quitting their jobs. True False
6. Desirability of movement is a weak predictor of voluntary employee turnover. True False
7. Availability of promotions or transfers may lessen or eliminate any intentions to quit, even though the
employee is very dissatisfied with the current job. True False
8. Discharge turnover is primarily due to extremely poor person/organization matches. True False
2. 9. Downsizing turnover is a reflection of a staffing level mismatch in which the organization actually is, o
is projected to be, overstaffed. True False
10. Of the three types of employee turnover, discharges are the most prevalent. True False
11. The types of employee turnover include
___________. A. voluntary B. discharge C. downsizing D. all of the above
12. Discharge turnover is usually due to ___________. A. a site or plant closing B. permanent
layoff C. poor employee performance D. none of the above
13. Turnover due to organizational downsizing is classified as
______. A. voluntary B. involuntary C. supplemental D. it depends on the circumstances of the
downsizing
14. The desirability of leaving an organization is often an outgrowth of _________. A. poor
person/organization match B. favorable labor market conditions C. general, transferable KSAOs D. no
of the above
15. An employee's intention to leave an organization is influenced by __________. A. perceived
desirability of movement B. perceived ease of movement C. alternatives available to the employee D.
of the above
16. Ease of leaving is greater when ____. A. employees are highly embedded B. employees possess
ample employer-specific KSAOs C. labor markets are loose D. all of the above
17. Downsizing is typically a reflection of __________. A. overstaffing B. understaffing C. an
appropriate staffing level D. none of the above
3. 18. Data are seldom available regarding when or where employee turnover is occurring in most
organizations. True False
19. Research suggests that there are differences between the reasons for turnover that employees provide
exit interviews and the reasons employees provide in anonymous surveys. True False
20. Because it is typically very easy to collect and analyze job satisfaction data meaningfully, most
organizations make this a cornerstone of their retention strategy. True False
21. Exit interviews should be conducted by exiting employee's immediate supervisor whenever
possible. True False
22. The interviewee in an exit interview should be told that the comments that he/she makes will be
confidential and that only aggregate results will be used by the organization. True False
23. Postexit surveys should ask be mailed quite some time after the employee's last day of work so the
individual has sufficient time to reflect on his or her experiences. True False
24. Economic costs associated with voluntary turnover include accrued paid time off and temporary
coverage. True False
25. Material and equipment costs are likely to be the most prevalent in replacement and training
costs. True False
26. The primary immediate benefit of turnover for employers is hiring inducements. True False
27. Compared to discharge turnover, voluntary turnover is usually more costly. True False
4. 28. Turnover cost estimates are very precise and accurate in most cases. True False
29. Many turnover costs are hidden in the time demands placed on the many employees who must handle
the separation, replacement, and training activities. True False
30. One potential benefit of employee discharges is the development of improved performance manageme
and disciplinary skills. True False
31. Downsizing costs are concentrated in separation costs for permanent reductions in force. True Fal
32. Exit interviews can be used to explain _________ to departing employees. A. rehiring
rights B. benefits C. confidentiality agreements D. all of the above
33. Which of the following is a suggestion for conducting an appropriate exit interview? A. The
interviewer should be the employee's immediate supervisor. B. There should be an unstructured interview
format. C. The interviewer should prepare for each interview by reviewing the interview format and the
interviewee's personnel file. D. None of the above
34. Which of the following is a common tool to assess employee reasons for leaving? A. Position
analysis B. Job rotation C. Exit interview D. Discharge notification
35. Economic separation costs associated with voluntary turnover include ________. A. hiring
inducements B. rehiring costs C. manager's time D. more than one of the above
36. Replacement costs associated with voluntary turnover include __________. A. HR staff induction
costs B. mentoring C. severance pay D. contagion
37. Which of the following is a potential benefit associated with voluntary employee turnover? A. lower
replacement costs B. savings from not replacing an employee C. vacancy creates an open job that must
5. staffed D. all of the above
38. Which of the following makes involuntary turnover potentially more costly than a similar level of
voluntary turnover? A. Accrued paid time off B. Possibility of a lawsuit C. Staffing costs for a new
hire D. Formal training
39. Economic costs associated with downsizing include ___________. A. threat to harmonious labor-
management relations B. decreased employee morale C. higher unemployment insurance
premiums D. difficulty in attracting new employees
40. Which of the following is a potential benefit associated with downsizing? A. focus on core businesse
eliminating peripheral ones B. spreading risk by outsourcing activities to other organizations C. lower
payroll and benefit costs D. all of the above
41. A recent Society for Human Resource Management (SHRM) survey found that the most effective
organizational strategy for retaining employees is the provision of concierge services. True False
42. Surveys suggest that HR managers believe that a totally different set of factors lead to turnover
compared to regular employees. True False
43. To have the power to attract and retain employees, rewards must be unique and unlikely to be offered
competitors. True False
44. In general, most employees report that the opportunity for higher compensation is a more powerful
predictor of turnover than conflict with supervisors. True False
45. Research has shown that the best performers are least likely to quit when an organization either reward
performance with higher compensation or widely communicates its compensation practices; doing both a
little to these independent effects. True False
6. 46. Of the factors that influence an employee's desirability of leaving, job satisfaction is the one that canno
be influenced to a significant degree by organizations. True False
47. Providing employees increased autonomy and requiring them to learn a variety of skills increases stre
significantly, which leads to greater turnover rates. True False
48. One guideline for increasing job satisfaction and retention is to ensure that fairness and justice exist in
the workplace. True False
49. Employee perceptions of injustice are often rooted in misunderstanding or ignorance of company
policies that could be resolved with increased communication. True False
50. Employees may not like a supervisor who speaks in a derogatory way towards them, but evidence
suggests they seldom actually turnover as a result of these feelings. True False
51. Some employees who do not take advantage of work-life balance options resent their coworkers who
more likely to use work-life programs. True False
52. Evidence suggests that personality dispositions have little or no impact on employee tendencies to
turnover. True False
53. Because employees quit companies, not jobs, internal staffing systems are usually seen as a poor
substitute for a job at another company. As such, they do little to reduce intentions to leave. True Fals
54. The first strategy for improving employee retention is to _____________. A. redesign employee
jobs B. increase pay C. improve job satisfaction D. none of the above
55. Guidelines for increasing job satisfaction and retention include ___________. A. establish a lag pay
policy for all employees B. link rewards to retention behaviors C. keeping core operations information
7. secret D. none of the above
56. Which of the following is an attribute of a high value employee that an organization would want to
prevent from leaving? A. low training investment B. strong KSAOs C. retirement D. low seniority
57. Which of the following is an attribute of a low value employee that an organization would not want to
prevent from leaving? A. little intellectual capital B. high seniority C. high performance D. all of th
above
58. Research most clearly suggests that when organizations wish to increase retention they need to
_____. A. provide team-building B. convince employees that there are few alternatives C. offer
"bundles" of HR practices that complement one another D. demonstrate executive commitment to outrea
59. Which of the following factors leading to turnover cannot usually be addressed by the
organization? A. Poor social environment at work B. Low levels of job satisfaction C. Employee
shocks D. All of these can be addressed by organizational policy
60. Organizations can use compensation to reduce turnover by _____. A. providing deferred
compensation B. giving specific rewards for seniority C. increasing pay levels to surpass the
market D. all of the above
61. Organizations that link extrinsic rewards to employee performance (i.e. that use incentive compensatio
plans) find that _____. A. turnover of high performers decreases and turnover of low performers
increases B. turnover is increased across the board C. turnover is decreased across the board D. turnov
rates are largely unaffected
62. Work-life balance programs are an example of _____. A. communal distribution B. intrinsic
rewards C. instrumentality D. a completely ineffective retention strategy
63. Research on organizational justice suggests that ____. A. justice only influences turnover in highly
industrialized Western countries B. communication has little impact on employee attitudes or turnover
intentions C. employees are typically well-informed about organizational policies D. none of the above
8. 64. To increase the cost of leaving, employers ____. A. reduce headcount B. provide deferred
compensation C. increase workloads D. provide free stock to employees
65. Performance management systems enable organizations to ensure that an initial person/job match yield
an effectively performing employee. True False
66. One recommendation for an effective performance appraisal or management system is that appraisal
criteria should be job-related, specific, and communicated in advance to the employee. True False
67. Performance management systems are used primarily to detect individuals whose performance is
unsatisfactory and should be terminated. True False
68. Poor task performance is the result of insufficient ability, knowledge, skills, or
motivation. True False
69. In progressive discipline, termination is seen as a viable early option to avoid having to work through
potentially fruitless cycle of improving a low-ability worker. True False
70. Employee termination is the final step in progressive discipline, and ideally it would never be
necessary. True False
71. As assessment of employee success in reaching goals, ratings of competencies, and suggestions for
improvement are all part of _____. A. performance planning B. performance appraisal C. performanc
execution D. progressive discipline
72. Recommendations for the effective design and use of a performance appraisal or management system
include that ____________. A. evaluations should be in writing B. the employee should receive timely
feedback about the evaluation and an explanation for any outcome decision C. there should be agreemen
among different raters in their evaluation of the employee's performance D. all of the above
9. 73. ______ includes the completion of job tasks that are specifically included in the job
description. A. Citizenship B. Task performance C. (Low) Counterproductivity D. All of the above
74. Which of the following is not a part of normal progressive discipline? A. Give employees notice of
rules of conduct B. Provide employees with alternative employment if performance problems
persist C. Allow for full investigation of alleged employee misconduct D. Give employees the right to
appeal a decision
75. Which of the following is an example of a major employee
offense? A. sabotage B. theft C. drug/alcohol abuse at work D. all of the above
76. The typical penalty for a first major offense by an employee is _____________. A. suspension or
discharge B. written reprimand C. verbal reprimand D. none of the above
77. Discharge turnover targets groups of employees and is also known as reduction in force.
(RIF). True False
78. Data shows dramatic decreases in organizational stock price following a downsizing, especially if the
downsizing organization restructures assets during downsizing. True False
79. Research shows that downsizing has negative impacts on employee morale and health, workgroup
creativity and communication, and workforce quality. True False
80. No-layoff policies cannot be implemented effectively by organizations. True False
81. One problem that has been shown to accompany downsizing is _____. A. increased payroll
costs B. decreases in employee health and motivation C. most companies fail to downsize
sufficiently D. insufficient attention to issues of seniority
10. 82. Which of the following is the most commonly pursued alternative to layoffs for reducing staffing
levels? A. Attrition B. Retraining C. Benefits reductions D. Job sharing
83. In many cases, the post-layoff environment for those who remain is marked by _____. A. reductions
trust of management B. stress among those who remain C. reductions in workforce quality D. all of th
above
84. Legal experts usually advise organizations to avoid documenting performance problems because the
"paper trail" is likely to just lead to problems in court. True False
85. From a legal standpoint, if performance appraisal information is to be used in the retention managemen
and termination process for an organization, the organization needs to ensure that the information is
_____. A. organizationally relevant B. sufficiently general to cover a variety of
situations C. communicated in advance to the employee D. all of the above