Human Resource Management MCQs

Human Resource Management MCQs help candidates and professionals master job analysis, recruitment, training, performance management, labor laws, and organizational behavior, ideal for MBA HRM students and exam aspirants seeking strong theoretical and practical HR knowledge.

Q: Employee morale is influenced by
A) Work environment and leadership
B) Number of competitors
C) Product quality
D) Tax policies
โœ… Correct Answer: A
Explanation: High morale results from positive workplace culture, fair treatment, and effective leadership.
Q: A compensation package typically includes
A) Allowances and benefits
B) Inventory reports
C) Penalties
D) Only basic salary
โœ… Correct Answer: A
Explanation: Compensation includes not only wages but also incentives and other monetary benefits.
Q: The process of evaluating employee performance
A) Recruitment
B) Succession planning
C) Job redesign
D) Performance appraisal
โœ… Correct Answer: D
Explanation: Appraisals measure how well an employee performs against set standards.
Q: A promotion leads to
A) Higher position and pay
B) Decreased motivation
C) Role reduction
D) Less responsibility
โœ… Correct Answer: A
Explanation: Promotions offer growth in responsibilities, status, and usually, compensation.
Q: Downsizing results in
A) Increase in salaries
B) Reduction in workforce
C) Expansion of facilities
D) More recruitment
โœ… Correct Answer: B
Explanation: Downsizing refers to planned elimination of jobs to improve efficiency or reduce costs.