Compensation & Benefits Flashcards
6 cards from real Human Resources practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Compensation & Benefits flashcards as text
What does the Fair Labor Standards Act (FLSA) establish?
Answer: Minimum wage, overtime pay, and child labor standards
The FLSA sets federal minimum wage, requires overtime pay at 1.5x for hours over 40 per week, and establishes child labor protections.
Which FLSA classification exempts employees from overtime requirements?
Answer: Exempt
Exempt employees meet specific salary level and duties tests and are not entitled to overtime pay under the FLSA.
What is 'compa-ratio' in compensation management?
Answer: An employee's actual pay divided by the midpoint of their pay range
Compa-ratio compares an employee's pay to the salary range midpoint, indicating where they fall relative to the market benchmark.
What type of pay plan links employee compensation directly to productivity output?
Answer: Piece-rate pay
Piece-rate pay compensates employees for each unit they produce, directly tying earnings to individual productivity.
Which benefit is required by federal law for most employers?
Answer: Social Security and Medicare (FICA)
Employers are federally required to pay Social Security and Medicare (FICA) taxes for employees.
What is 'total compensation' in HR?
Answer: The complete value of pay plus all benefits, bonuses, equity, and perks provided to employees
Total compensation encompasses all direct pay (base salary, bonuses) and indirect pay (benefits, equity, perks) provided to employees.