CSP Compensation & Benefits Administration Flashcards
6 cards from real CSP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CSP Compensation & Benefits Administration flashcards as text
What does 'workers' compensation' insurance cover for staffing agency employees?
Answer: Medical expenses and lost wages for work-related injuries
Workers' compensation insurance covers medical treatment, rehabilitation costs, and a portion of lost wages when an employee is injured or becomes ill due to work.
In staffing, what does 'direct placement fee' refer to?
Answer: A one-time fee charged when a client hires a candidate directly into a permanent role
A direct placement fee (or permanent placement fee) is a one-time charge to the client when the agency successfully places a candidate in a full-time, permanent position.
Which federal agency enforces wage and hour laws, including minimum wage and overtime, for staffing workers?
Answer: WHD (Wage and Hour Division of DOL)
The Wage and Hour Division (WHD) of the U.S. Department of Labor enforces the FLSA, including minimum wage, overtime, and child labor provisions.
What is a '1099 worker' in the context of staffing, and why is misclassification risky?
Answer: An independent contractor not subject to payroll taxes; misclassification exposes agencies to back taxes and penalties
1099 workers are classified as independent contractors; misclassifying employees as contractors can result in significant IRS penalties, back payroll taxes, and liability for unpaid benefits.
Under the Equal Pay Act of 1963, staffing agencies must ensure that employees of different sexes receive equal pay for what?
Answer: Equal work requiring equal skill, effort, and responsibility under similar conditions
The Equal Pay Act prohibits wage discrimination based on sex when employees perform substantially equal work requiring equal skill, effort, and responsibility under similar working conditions.
What is the purpose of a prevailing wage requirement for staffing placements on government contracts?
Answer: To ensure workers on public projects are paid at least the locally prevailing wage for similar work
Prevailing wage laws (like the Davis-Bacon Act) require that workers on federally funded projects be paid at least the wage rates common in the local area for comparable work.