TEST

Exercise 1. Match the terms with their definitions

A. A technical word often seen in recruitment adverts for

1. Pay (n)
senior positions

2. Reward (n) B. A generic word to describe workers’ earnings

C. Used generally but also specifically to describe office

3. Salary
workers' earnings, usually paid monthly by bank transfer
D. Used generally but also specifically to describe company
4. Wage
earnings
E. A semi-technical word emphasising payment linked to
5. Remuneration
performance
F. Used generally but also specifically to describe factory
6. Income
workers' earnings, traditionally paid weekly in cash

7. Incentive G. Something that encourages a person to do something

8. Incentivise H. To make someone want to do something

I. The percentage of customers that stay loyal for the long

9. Compensation programme
term

10. Stretch goals / stretch targets J. Cash generated from operating activities

11. Comparison companies K. System of payment and rewards for employees

12. Annual base salary L. Company earnings before interest and taxes

13. Short-term cash incentives M. Stock given to employees as rewards

N. Better returns for shareholders/maximisation of share

14. Increased shareholder value
value

15. Operating profit O. Strategic objectives that are extremely difficult to achieve

16. Operating cash flow P. Bonuses to encourage better performance

17. Equity-based awards Q. Income generated from recently released products

18. New product revenue R. Yearly salary, excluding bonuses, pensions, etc

19. Customer-retention rates S. Competitors

T. The pay and other rewards that a company manager

20. Package
receives

Answer:

1.. 1. B 2.. 2. E 2. 3. C ..4 4. F 5. 5. A 6. 6. D 7.. 7. G 8 . 8. H 9. K 11 10. O

11 11. S 12 12. R 13 13. P 14 14. N 15 15. J 16 16. L 71 17. M 18 18. Q 19 19. I 20 20. T
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Exercise 2. Choose the best answer to fill in the blank.
1. Short-term cash incentives are tied _____ to performance and represent a significant
portion of an executive officer's total annual cash compensation.
A. Indirectly B. Directly C. Continuously D. Negatively
2. In the case of the president and CEO, the annual incentive award is also partly based on his
performance compared against strategic leadership _____, including entry into new
markets and services and executive development.
A. Objectives B. Purposes C. Subjective D. Goals
3. ____ of your executives have recently left the company and moved to your competitors.
A. Some B. Several C. Any D. If
4. Maria Rodriguez, the sales director____ Asia and Africa, has worked for the company for
5 years longer than Geoff Mutton, the director of sales for Europe.
A. For B. In C. Of D. On
5. Maria’s first four years were _______, but last year she performed badly due to a canceled
contract in South Africa.
A. Outstanding B. Excellent C. Successful D. Meaningful
6. If I ____ not get a pay rise, I will definitely leave the company within the next month.
A. Do B. Did C. Have done D. Does
7. You know, like having to be approachable and ____, and having to meet clients earlier in
the morning or having to meet them after the working day or having to work through lunch
and all that kind of thing
A. Creative B. Positive C. Acceptable D. Flexible
8. You have to____ a new benefits package for your executives.
A. Develop B. Raise C. Create D. Bring
9. Traditionally, your company ___ the average salary for the industry, with substantial
equity-based awards
A. Gets B. Pays C. Receives D. Accepts
10. The internal ______ the compensation levels of the other executive officers of Nokia.
A. Due to B. According to C. Regardless of D. Comparison to
11. Feedback is a vital tool for performance management, as it helps employees understand
their strengths, weaknesses, and areas for ______.
A. Improvement B. Development C. Innovation D. Expansion
12. The first step to rewarding performance based on feedback is to align your rewards with
the goals and expectations you have set for your employees.
A. Appearances B. Performance C. Expectations D. Improvements
13. You should also ______ them to give feedback to each other, and to celebrate their
successes as a team.

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 A. Motivate B. Encourage C. Support D. Help
14. By_____ your employees in the reward process, you can increase their engagement,
satisfaction, and loyalty.
A. Collecting B. Rewarding C. Involving D Containing
15. You should _____ and measure the impact of your rewards on your employees'
performance, motivation, and retention.
A. Monitor B. Monish C. Motion D. Monitory
16. This way, you can avoid confusion, ________, and resentment among your
staff, and ensure that your rewards are relevant, meaningful, and motivating.
A. Consistency B. Inconsistency C. Conflict D. Expectation
17. But feedback alone is not enough to _____ and retain your top performers.
A. Motivation B. Motivate C. Motivated D. Motivating
18. You should communicate clearly what you want them to achieve, how you will measure
their progress, and what _____ they can expect for meeting or exceeding their targets
A. Rewards B. Gifts C. Bonus D. Salary
19. Employee _______ and retention are crucial for any organization that wants to
achieve its goals and sustain its competitive edge.
A. Expectation B. Experience C. Achievement D. Performance
20. You also align your employees' goals with your organizational _____ and
strategy, and help them understand how their work matters.
A. Vision B. Expansion C. Cooperation D. Purpose
Answer:

1. 1. B 2. 2. A 3. 3. B 4. 4. A 5. 5. C 6. 6. A 7. 7. D 8. 8. A 9. 9. B 10 10. D
11 11. A 11 12. C 13 13. B 11 14. C 11 15. A 11 16. B 11 17. B 11 18. A 11 19. D 22 20. A

Exercise 3. Make sentence with these given words.

1. Reward/ employees/ cause/ a company extra costs.
=> Rewards for employees may cause a company extra costs.
2. System/ involve/ reward/ the employees/ against/ particular/ desired behaviors/
organizational goals.
=> A system involves rewarding the employees against particular or desired behaviors or
organizational goals.
3. Fair/ reward system/ employees/ provide equal opportunities/ the entire workforce.
=> A fair reward system for employees should provide equal opportunities for the entire
workforce.
4. Make/ use of non-monetary rewards/ be/ more impactful / an employee/ be/
recognized immediate/ notable work.
=> Making use of non-monetary rewards is more impactful since an employee can be
recognized immediately for notable work.
5. The competitive work culture result/in the elevation/ the performance/ level/ of the
employees/ making/ the company the absolute winner/ this competitiveness.
=> The competitive work culture results in the elevation of the performance levels of the
employees, making the company the absolute winner of this competitiveness.
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6. Time-rate pay/ be/ the most common method/ staff payment / UK/ perhap/ all other
countries in the world.
=> Time-rate pay is the most common method of staff payment in the UK and perhaps all
other countries in the world.
7. As employees/ be/ pay/ the amount of time/ they/ spend/ work, they/ clear/ know how
much they/ be/ earn/ the end/ the month/ helps/ plan their monthly spending
accordingly.
=> As employees are paid for the amount of time they spend at work, they clearly know
how much they are going to earn by the end of the month which helps them plan their
monthly spending accordingly.
8. For businesses/ it/ be/ beneficial/ it/ be/ a simple method/ calculate the staff payment.
=> For businesses,it is also beneficial as it is a simple method to calculate the staff
payment.
9. One of the problems/ with time-rate pay/ be/ it / little/ encourage/ greater productivity/
employees.
=> One of the problems with time-rate pay is that it does little to encourage greater
productivity of employees.
10. The case of the president/ CEO/ the annual incentive award/ be/ also partly/ based/
performance/ compared/ against strategic leadership objectives/ including entry/ new
markets/ services/ executive development.
=> In the case of the president and CEO, the annual incentive award is also partly based on
his performance compared against strategic leadership objectives, including entry into new
markets and services and executive development.
11. Use/ the following prompts/ produce / short email/ recruitment problems /a clothing
distribution company.
=> Use the following prompts to produce a short email about recruitment problems in a
clothing distribution company.
12. /Not only /a well-thought-out rewards structure /help /attract/ the best talent /but/ it /
boost/ employee productivity/ creativity, / motivation/overall engagement/ retention.
=> Not only does a well-thought-out rewards structure help attract the best talent, but it
can also boost employee productivity, creativity, motivation, and overall engagement and
retention.
13. Many organisations /move/ beyond/ normal benefits/ / started/offer/ flexible
schedules, / development opportunities/recognition programs/other incentives.
=> Many organisations have moved beyond normal benefits and have started offering
flexible schedules, development opportunities, recognition programs, and other incentives.
14. If money /be/the lifeblood / modern monetary economies/payment systems /be/the
circulation system.
=> If money is the lifeblood of modern monetary economies, payment systems are the
circulation system.
15. Our compensation programme /executive officers /include/ annual /cash compensation
/the form of a base salary/short-term cash incentives/ long-term equity/ base/ incentive
awards in the form of stock options and shares.
=> Our compensation programme for executive officers includes annual cash
compensation in the form of a base salary, short-term cash incentives and long-term equity
based incentive awards in the form of stock options and shares.
16. Business/ often /negotiate/ different parties to maintain their operations/ gain market
share/ launch new products/hire more human resources/ expand/ customer base.
=> Businesses often negotiate with different parties to maintain their operations, gain
market share, launch new products, hire more human resources, and expand their customer
base.
17. Usually/negotiation process /require/a mediator/ensure the parties/ respect /each other's
positions.
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 => Usually, a negotiation process requires a mediator to ensure that the parties respect each
other's positions.
18. Preparation /require/ defining the purpose /scope of the negotiations/mean/ the parties
might / plan /action /before beginning.
=> Preparation requires defining the purpose and scope of the negotiations, meaning the
parties might need a plan of action before beginning.
19. It's crucial /you and your team/research the other party company's interests/your
findings /help /determine /common interests /areas of compromise.
=> It's crucial for you and your team to research the other party and their company's
interests, as your findings might help you determine common interests and areas of
compromise.
20. Employees/be/disengaged/low morale/be/more/to/choose /satisfy/ working
relationships/challenging work assignments/monetary rewards.
=> Employees who are disengaged or have low morale are more likely to choose satisfying
working relationships and challenging work assignments over monetary rewards.

Exercise 4. Translate from English to Vietnamese.

1. It's quite hard to create a reward system that truly aligns managers' pay to their
company's success.
=> Khá khó để tạo ra một hệ thống khen thưởng mà mức lương của những người đứng
đầu thực sự tương xứng với thành công của công ty họ.
2. The compensation programme for executive officers includes annual cash
compensation in the form of a base salary, short-term cash incentives and long-term
equity- based incentive awards in the form of stock options and shares.
=> Chương trình thù lao này dành cho các giám đốc điều hành bao gồm thù lao bằng tiền
mặt hàng năm dưới dạng lương cơ bản, các khoản phụ cấp bằng tiền mặt ngắn hạn và các
phần thưởng khuyến khích dựa trên vốn sở hữu dài hạn dưới hình thức cổ phần và cổ phiếu.
3. In some companies, the CEO may receive 20 times the pay of the average worker, or
possibly much more.
=> Ở một số công ty, CEO có thể nhận được mức lương gấp 20 lần lương của một công
nhân bình thường, hoặc có thể nhiều hơn thế.
4. One of the objectives of executive compensation programmes is to align the interests of
the executive officers with those of the shareholders through long-term incentives in
the form of equity-based awards.
=> Một trong những mục tiêu của chương trình thù lao cho giám đốc điều hành là gắn kết
lợi ích của các giám đốc điều hành với lợi ích của các cổ đông thông qua các biện pháp ưu
đãi dài hạn dưới hình thức khen thưởng dựa trên vốn chủ sở hữu.
5. Effective symbolic awards must be designed with a specific workplace context in mind.
=> Các phần thưởng tượng trưng có hiệu quả phải được thiết kế phù hợp với bối cảnh cụ
thể tại nơi làm việc.
6. While real-time performance rewards seem like they would need a larger budget,
companies can use a budget pool to reward employees throughout the year with the
same budget they would typically reserve for the end of the year.
=> Mặc dù phần thưởng dựa trên hiệu suất theo thời gian thực có vẻ như sẽ cần ngân sách
lớn hơn, nhưng các công ty có thể sử dụng ngân sách phụ để thưởng cho nhân viên trong
suốt cả năm với cùng một khoản ngân sách mà họ thường tích góp cho cuối năm.
7. Careful planning and implementation of rewards prevent programs from becoming the
source of workplace conflict rather than well-deserved employee recognition.
=> Việc lập kế hoạch và thực hiện cẩn thận việc khen thưởng sẽ ngăn chặn các chương
trình trở thành nguồn gốc của xung đột tại nơi làm việc thay vì ghi nhận những nhân viên
xứng đáng được khen thưởng.
8. Based on the size of your workforce, your organization's compensation structure and
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 industry, some employee reward programs can be cost-prohibitive.
=> Dựa trên quy mô lực lượng lao động, cơ cấu lương thưởng và ngành nghề của tổ chức
bạn, một số chương trình khen thưởng nhân viên có thể rất tốn kém.
9. Developing an employee rewards program to improve employee retention can be
problematic, particularly because many employees cite ineffective leadership as the
reason for resigning.
=> Việc phát triển chương trình khen thưởng nhân viên nhằm cải thiện khả năng giữ chân
nhân viên có thể gặp khó khăn, đặc biệt họ từ chức vì lý do nhiều nhân viên cho rằng năng
lực lãnh đạo yếu kém.
10. Employees who are disengaged or have low morale are more likely to choose satisfying
working relationships and challenging work assignments over monetary rewards.
=> Những nhân viên thảnh thơi hoặc có tinh thần làm việc thấp thường có xu hướng chọn
những mối quan hệ đồng nghiệp hòa hợp và những nhiệm vụ công việc đầy thử thách, hơn
là phần thưởng bằng tiền.
11. Employee recognition programs resolve these issues through regular and positive
interaction with the workforce and recognition of ideas that often mean more to
employees than a salary raise.
=> Các chương trình ghi nhận nhân viên giải quyết những vấn đề này thông qua sự tương
tác thường xuyên và tích cực với đội ngũ nhân viên và ghi nhận những quan điểm đóng
góp mà nhân viên tâm huyết về, hơn là việc tăng lương.
12. Motivating employees with incentives and rewards is one way to improve performance
and increase revenue generation.
=> Việc khích lệ động viên nhân viên bằng các biện pháp khuyến khích và khen thưởng là
một cách để cải thiện hiệu suất và tăng doanh thu.
13. Attempting to motivate employees in high-pressure or unsustainable ways can backfire
and decrease morale.
=> Việc cố gắng động viên nhân viên bằng cách tạo áp lực cao hoặc những cách không
bền vững có thể gây phản tác dụng và làm giảm tinh thần làm việc.
14. An intrinsic reward system may not be the best approach for staff members who prefer
to be recognized or rewarded with monetary compensation.
=> Hệ thống khen thưởng nội tại có thể không phải là phương pháp tốt nhất cho những
nhân viên mà muốn được ghi nhận hoặc khen thưởng bằng tiền.
15. Extrinsic reward programs can intimidate low-performing staffers and frustrate high
achievers.
=> Các chương trình khen thưởng bằng những phần thưởng bên ngoài có thể làm sợ hãi
những nhân viên có hiệu suất thấp và làm nản lòng những người có thành tích cao.
16. Managers can instill organizational commitment in employees by creating a desirable
corporate culture, stimulating employees and rewarding both quality performance and
company loyalty.
=> Các nhà quản lý có thể khiến việc nhân viên cam kết với tổ chức thấm nhuần trong tư
tưởng bằng cách tạo ra một nền văn hóa doanh nghiệp đáng mong ước, khuyến khích nhân
viên và bằng việc khen thưởng cả về năng suất làm việc hiệu quả và lòng trung thành với
công ty.
17. Recognition can often have a greater impact on the employer-employee relationship
simply because the employee's value isn't reduced to dollars and cents.
=> Sự ghi nhận những đóng góp thường có thể có ảnh hưởng lớn hơn đến mối quan hệ
giữa chủ và nhân viên vì đơn giản là giá trị của nhân viên không được xem như chỉ là
những đồng đô la và xu.
18. Non-monetary recognition, such as giving plum assignments to employees with
outstanding performance records, is one of the basic elements of job satisfaction.
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 => Sự công nhận phi tiền tệ, chẳng hạn như giao những nhiệm vụ xứng đáng cho những
nhân viên có thành tích xuất sắc, là một trong những yếu tố cơ bản của việc cảm thấy hài
lòng trong công việc.
19. Incentive pay plans are part of compensation packages that reward high-productivity
employees with various rewards.
=> Các kế hoạch cho chế độ đãi ngộ là một phần của các gói lương thưởng nhằm thưởng
cho những nhân viên có năng suất cao với nhiều phần thưởng khác nhau.
20. Not only are incentives excellent motivators for employees, but they are also
increasingly becoming necessary if companies wish to attain and retain top talent.
=> Các biện pháp khuyến khích không chỉ là động lực tuyệt vời cho nhân viên mà còn
ngày càng trở nên cần thiết nếu các công ty mong muốn thu hút và giữ chân những tài năng
hàng đầu.

Exercise 5. Complete the following sentences (about 10 words for each sentences)

1. The incentive payout is a financial or non-monetary reward offered to employees for

performance rather than the total number of hours worked.
2. Operating profit is a company's profit from its normal business activities, not including any
earned from investments or sales of assets.
3. Base salary does not include include any extra lump sum compensation, including overtime
pay or bonuses, as well as other types of benefits.
4. High customer retention rates lead to more revenue in the long run from repeat purchases,
which is an indicator that your product is meeting existing market demand.
5. Customer retention measures not only how successful a company is at acquiring new
customers but also how successful they are at satisfying existing customers.
6. We should pay based more on merit, or experience, or time spent with the company to
motivate employees.
7. Rewarding people with a higher salary is the best way of motivating them.
8. It's an interesting job, but the pay is really bad and that makes most employees dissatisfied.
9. Short-term cash incentives are tied directly to performance and represent a significant
portion of an executive officer's total annual cash compensation.
10. Our compensation programme for executive officers includes annual cash compensation in
the form of a base salary, short-term cash incentives.
11. The incentive payout is based on employee’s productivity rather than pay for the number of
hours worked.
12. Companies should incentivise staff to keep fit by offering to cover 50% of the cost of gym
membership.
13. The compensation for the job was all of the expenses you pay for each employee (e.g.,
commissions, overtime, insurance plans).
14. Cash incentives can provide a tangible boost to morale as employees recognize their efforts
are being appreciated and rewarded.
15. Competition can motivate employees, make them put in more effort, and achieve results, but
it also makes them feel anxious.
16. One of the advantages of paying by time is that it can easily be calculated for general roles
where employee productivity is not easy to measure.
17. One of the disadvantages of paying by output is that employees might try to overextend
themselves to make more money or to meet goals.
18. Remuneration is not only base salary but any bonuses, commission payments, overtime pay,
or other financial benefits that an employee receives from an employer.
19. In general, fair pay is that all people should receive the same pay for the same job.
20. To get a pay rise, you should provide evidence of your work performance like the
achievements you have achieved during your work career.

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Exercise 6. Read the passage and answer the questions

Motivating Employees under Adverse Condition

THE CHALLENGE
It is a great deal easier to motivate employees in a growing organisation than a declining one.
When organisations are expanding and adding personnel, promotional opportunities, pay rises,
and the excitement of being associated with a dynamic organisation create feelings of optimism.
Management is able to use the growth to entice and encourage employees. When an organisation
is shrinking, the best and most mobile workers are prone to leave voluntarily. Unfortunately,
they are the ones the organisation can least afford to lose- those with the highest skills and
experience. The minor employees remain because their job options are limited.
Morale also suffers during decline. People fear they may be the next to be made redundant.
Productivity often suffers, as employees spend their time sharing rumours and providing one
another with moral support rather than focusing on their jobs. For those whose jobs are secure,
pay increases are rarely possible. Pay cuts, unheard of during times of growth, may even be
imposed. The challenge to management is how to motivate employees under such retrenchment
conditions. The ways of meeting this challenge can be broadly divided into six Key Points, which
are outlined below.
KEY POINT ONE
There is an abundance of evidence to support the motivational benefits that result from carefully
matching people to jobs. For example, if the job is running a small business or an autonomous
unit within a larger business, high achievers should be sought. However, if the job to be filled is
a managerial post in a large bureaucratic organisation, a candidate who has a high need for power
and a low need for affiliation should be selected. Accordingly, high achievers should not be put
into jobs that are inconsistent with their needs. High achievers will do best when the job provides
moderately challenging goals and where there is independence and feedback. However, it should
be remembered that not everybody is motivated by jobs that are high in independence, variety
and responsibility.
KEY POINT TWO
The literature on goal-setting theory suggests that managers should ensure that all employees
have specific goals and receive comments on how well they are doing in those goals. For those
with high achievement needs, typically a minority in any organisation, the existence of external
goals is less important because high achievers are already internally motivated. The next factor
to be determined is whether the goals should be assigned by a manager or collectively set in
conjunction with the employees. The answer to that depends on perceptions the culture,
however, goals should be assigned. If participation and the culture are incongruous, employees
are likely to perceive the participation process as manipulative and be negatively affected by it.
KEY POINT THREE
Regardless of whether goals are achievable or well within management's perceptions of the
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 employee's ability, if employees see them as unachievable they will reduce their effort. Managers
must be sure, therefore, that employees feel confident that their efforts can lead to performance
goals. For managers, this means that employees must have the capability of doing the job and
must regard the appraisal process as valid.
KEY POINT FOUR
Since employees have different needs, what acts as a reinforcement for one may not for another.
Managers could use their knowledge of each employee to personalise the rewards over which
they have control. Some of the more obvious rewards that managers allocate include pay,
promotions, autonomy, job scope and depth, and the opportunity to participate in goal-setting
and decision-making.
KEY POINT FIVE
Managers need to make rewards contingent on performance. To reward factors other than
performance will only reinforce those other factors. Key rewards such as pay increases and
promotions or advancements should be allocated for the attainment of the employee's specific
goals. Consistent with maximising the impact of rewards, managers should look for ways to
increase their visibility. Eliminating the secrecy surrounding pay by openly communicating
everyone's remuneration, publicising performance bonuses and allocating annual salary
increases in a lump sum rather than spreading them out over an entire year are examples of
actions that will make rewards more visible and potentially more motivating.
KEY POINT SIX
The way rewards were distributed should be transparent so that employees perceive that rewards
or outcomes are equitable and equal to the inputs given. On a simplistic level, experience,
abilities, effort and other obvious inputs should explain differences in pay, responsibility and
other obvious outcomes. The problem, however, is complicated by the existence of dozens of
inputs and outcomes and by the fact that employee groups place different degrees of importance
on them. For instance, a study comparing clerical and production workers identified nearly
twenty inputs and outcomes. The clerical workers considered factors such as quality of work
performed and job knowledge near the top of their list, but these were at the bottom of the
production workers' list. Similarly, production workers thought that the most important inputs
were intelligence and personal involvement with task accomplishment, two factors that were
quite low in the importance ratings of the clerks. There were also important, though less
dramatic, differences on the outcome side. For example, production workers rated advancement
very highly, whereas clerical workers rated advancement in the lower third of their list. Such
findings suggest that one person's equity is another's inequity, so an ideal should probably weigh
different inputs and outcomes according to the employee group.

(Cambridge IELTS 6 - Test 3 - Reading Passage 2)

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Answers:

1. How do the best employees behave when the company is shrinking?

=> When an organisation is shrinking, the best and most mobile workers are prone to leave
voluntarily. (The Challenge).
2. What happens if the employee believes that the goal is unachievable?
=> Regardless of whether goals are achievable or well within management's perceptions of the
employee's ability, if employees see them as unachievable they will reduce their effort. (Key
Point 3)
3. Why is it important for managers to match rewards to individuals?
=> Since employees have different needs, what acts as a reinforcement for one may not for
another. Managers could use their knowledge of each employee to personalise the rewards over
which they have control. (Key Point 4)
4. Should all company members be informed of an employee's income?
=> They should. That will make rewards more visible and potentially more motivating. (Key
Point 5)
5. What must be done to make employees aware that rewards or outcomes are fair and
equitable?
=> The way rewards were distributed should be transparent so that employees perceive that
rewards or outcomes are equitable and equal to the inputs given. (Key Point 6)

The end

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