Data Description-
The CIRCUIT file on the text CD contains data for the past two years on the 233 hourly employees in the company who were with the company for that entire period of time. A partial listing of the data is shown here.
| Employee |
Hourly Pay |
Sick Leave Last Year |
Sick Leave This Year |
Exercise Progream |
| 6631 |
$10.97 |
3.5 |
2 |
0 |
| 7179 |
11.35 |
24 |
12.5 |
0 |
| 2304 |
10.75 |
18 |
12.75 |
0 |
| 9819 |
10.96 |
21.25 |
14 |
0 |
| 4479 |
10.59 |
16.5 |
11.75 |
0 |
| 1484 |
11.41 |
16.5 |
9.75 |
1 |
These data are coded as follows:
Employee: Employee ID number.
Hourly Pay: Hourly pay of the employee in both years. Unfortunately, due to economic conditions, there were no pay raises last year.
Sick Leave Last Year: Actual number of days of sick leave taken by the employee last year before the new program started.
Sick Leave This Year: Actual number of days of sick leave taken by the employee this year under the new program.
Exercise Program: 1, if participating in the exercise program. 0, if not participating.
1. Using the method presented in the chapter for comparing the means of paired samples, compare the two years in terms of days missed before and after the new program was implemented. On this basis alone, does it appear that the program has been effective in reducing the number of days missed?
2. Keeping in mind that the goal of the program is to reduce the cost of absenteeism, you will need to create two new variables for each employee: (1) the cost of paid absences last year, and (2) the cost associated with absences this year. A few hints on creating these variables for each person: For (I), assume an 8-hour workday and consider both the person's daily pay and his or her number of absence days. For (2), assume an 8-hour workday and keep in mind that the total cost associated with absenteeism for each person must include the cost of paid absences, the extra pay for unused sick leave (if any), and health club membership (if applicable). You might call these new variables Cost_Before and Cost_After. Use these new variables in repeating the procedure you followed in Question 1, then discuss the results and make a recommendation to Mr. Nelson regarding the effectiveness and possible continuation of the new program.
3. Using the new variables you created in Question 2, use this year's costs and an appropriate statistical test in evaluating the effectiveness of the exercise program. Discuss the results and make a recommendation to Mr. Nelson regarding the effectiveness and possible continuation of the company-paid health club memberships.
Attachment:- Data.rar