Question

A manager of a large corporation recommends a $10,000 raise be given to keep a valued subordinate from moving to another company. Consider the internal and external sources of data that might be used to decide whether such a salary increase is appropriate. Classify each of the following sources of data on employee salaries as either internal or external.

1. The personnel department?
2. The Department of Labor?
3. Other industry associations?

Answer 1

The personnel department - Internal source

The Department of Labor - external source

Other industry associations - external source

Explanation:

the personnel department is an internal source of data because the personnel is within the organisation and they are the ones responsible for storing and managing the data of employees

The Department of Labor is an external source of data because data held by the Department of Labor include salaries paid to employees base on the the type of labor provided to different companies as a representative of the large corporation so this data would be gotten from different companies

Other industry associations is an external source of data because Other industry associations is not within the large corporation