The Society for Human Resource Management (SHRM) collaborated with Globoforce on a series of organizational surveys with the goal of identifying challenges that HR leaders face and what strategies help them conquer those challenges. A 2015 survey indicates that employee retention/turnover (40%) and employee engagement (39%) were cited as the most important organizational challenges currently faced by HR professionals. One strategy that may have an impact on employee retention, turnover and engagement, is a successful employee recognition program. Surveying both smaller organizations, those with 500 to 2,499 employees, and larger organizations, those with 2,500+ employees, SHRM and Globoforce showed that 278 (74%) of the 376 smaller organizations have employee recognition programs as compared to 316 (84%) of the 376 larger organizations.

a. At the 0.01 level of significance, is there evidence of a significant difference between organizations with 500 to 2,499 employees and organizations with 2,500+ employees with respect to the proportion that have employee recognition programs?

b. Find the p-value in (a) and interpret its meaning.

c. Construct and interpret a 99% confidence interval estimate for the difference between organizations with 500 to 2,499 employees and organizations with 2,500+ employees with respect to the proportion that have employee recognition programs.