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WorldatWork C1 Exam Syllabus Topics:

WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. Which of the following would most likely be considered a "repeated" violation of the FLSA?

A) An employer who should have inquired further into whether its conduct was in compliance with the act and failed to do so.
B) When the Labor Department has advised an employer that its actions were unlawful
C) An employer that had a prior finding by the Labor Department, court or another tribunal with the authority to make such a finding
D) An employer knowing its conduct was prohibited under the act or showing reckless disregard for the requirements of the act

2. If a company has a higher percentage of employees with fixed compensation than variable compensation, what happens as revenues increase?

A) Compensation costs remain the same as a percent of revenue until variable compensation costs exceed fixed compensation costs.
B) Compensation costs and revenue increase at approximately the same rate.
C) Compensation costs eventually decrease as a percent of revenue, increasing profit growth.
D) Compensation costs eventually stabilize and become a consistent percent of revenue.

3. Which of the following agencies enforces the FLSA?

A) Office of Federal Contract Compliance Programs
B) Department of Labor
C) Equal Employment Opportunity Commission
D) National Labor Relations Board

4. Which of the following benefits are usually offered at the discretion of the employer?

A) Disability (occupational)
B) Retirement plans
C) Unemployment insurance
D) Social security programs

5. Which statement is most accurate regarding the effect of taxation on the benefits that employers offer?

A) Taxation has no effect on employee benefits; employers offer benefits for competitive reasons only.
B) Taxation is the primary reason that employers offer benefits; in the absence of tax incentives, employers would be unlikely to offer them.
C) Taxation affects the level of benefits offered, the source of benefits and the employer/employee cost- sharing basis.

Solutions: