PHR Compensation and Benefits 3

Question 1

The Equal Pay Act of 1963 prohibits pay differences based on sex for jobs requiring equal skill, effort, responsibility, and:

Accepted Answer

Working conditions

Answer

The Equal Pay Act compares jobs on skill, effort, responsibility, and working conditions.

Question 2

Which defined benefit pension plan funding insurance is provided by a federal agency?

Accepted Answer

PBGC

Answer

The Pension Benefit Guaranty Corporation (PBGC) insures defined benefit pension plans.

Question 3

A 401(k) plan that automatically passes nondiscrimination testing by meeting minimum contribution and vesting requirements is called a:

Accepted Answer

Safe harbor plan

Answer

Safe harbor 401(k) plans avoid ADP/ACP testing by satisfying set contribution and vesting rules.

Question 4

Point-factor job evaluation is an example of which type of evaluation method?

Accepted Answer

Quantitative

Answer

Point-factor assigns numeric points to compensable factors, making it a quantitative method.

Question 5

Which incentive plan pays employees a share of cost savings achieved through improved productivity, often via the Scanlon or Rucker formula?

Accepted Answer

Gainsharing

Answer

Gainsharing rewards groups for productivity gains and cost savings using formulas like Scanlon and Rucker.

PHR Practice Test