Total Rewards and Compensation Flashcards

COBRA generally allows eligible employees to continue group health coverage for how long after a qualifying event like termination?

Answer: 18 months

COBRA provides up to 18 months of continuation coverage for most qualifying events, with some extensions.

A nonqualified deferred compensation plan typically:

Answer: Provides benefits to a select group of management or highly compensated employees

Nonqualified plans are not subject to ERISA nondiscrimination rules and target executives or key employees.

Which survey concept refers to ensuring data reflects similar jobs across comparable organizations?

Answer: Job matching (benchmarking)

Accurate job matching ensures survey comparisons are made between truly comparable roles.

An employee whose pay exceeds the maximum of their range due to a downgrade is typically:

Answer: Red circled

Red circling freezes pay above range maximum until the range catches up or pay is adjusted.

Which of the following is a key advantage of a cafeteria (Section 125) benefit plan?

Answer: Employees choose benefits with pre-tax dollars

Section 125 plans let employees select benefits using pre-tax contributions, increasing flexibility and tax savings.

Merit pay increases are best described as adjustments based on:

Answer: Individual performance

Merit pay rewards individual performance, distinct from across-the-board or cost-of-living raises.

Which federal law requires covered government contractors to pay prevailing wages on public works construction?

Answer: Davis-Bacon Act

The Davis-Bacon Act mandates prevailing wages and benefits on federal construction contracts.