Exam Code: C1
Exam Name: Regulatory Environments for Compensation Programs
Certification Provider: WorldatWork
Corresponding Certification: WorldatWork Other Certification
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WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. Which of the following best describes the most likely perspectives of different groups in the organization that compensation professionals must be aware of?

A) Investors and Finance want to see money spent wisely. Legal must ensure compliance, and HR and operating departments want to see their needs taken into account to attract, retain and motivate a high quality workforce.
B) Investors want to maximize gains and want to see compensation tightly controlled and Legal needs to ensure that compensation plans do not attract undue scrutiny.
C) Operating departments view compensation as it applies to them, HR must balance available resources to attract, retain and motivate employees and Finance knows the value of a motivated workforce and will provide the budget necessary to achieve it.
D) Operating departments and HR understand the company must live within its means and Finance cannot allocate funds to a budget if it is likely that profitability will be adversely affected.


2. Which of the following is the best example of a variable cost?

A) Rent
B) Audit fees
C) Maintenance
D) Shipping


3. Which of the following is appropriate when an employee is required by the employer to attend training as a condition of employment?

A) Even when the training is required, as long as the classes are outside working time and not on company property, they are not hours worked.
B) No training time is considered hours worked even if it is a condition of employment, since the employee is free to leave the company.
C) Appropriate study time does not count as hours worked regardless of the educational level of the training program.
D) Only educational programs focused on remedial education (up to eighth grade) can be excluded from the 40-hr criteria for time and a half.


4. Who enforces Title VII of the Civil Rights Act of 1964?

A) The Office of Federal Contract Compliance
B) The Equal Employment Opportunity Commission
C) The Wage and Hour Division of the Department of Labor
D) The National Civil Rights Commission


5. What statement is most accurate regarding communication of compensation information?

A) Compensation terms and practices are unclear to most individuals who do not work in this area and communication should be tailored to the least informed member of the target audience.
B) Compensation terms are well-known and easily understood by most stakeholders.
C) The ready availability of information online has made it unnecessary for compensation professionals to tailor messages since individuals can research terms and concepts after the fact if they don't understand a communication.
D) Compensation professionals should anticipate the level of the audience and tailor messages to their needs.


Solutions:

Question # 1
Answer: A
Question # 2
Answer: D
Question # 3
Answer: D
Question # 4
Answer: B
Question # 5
Answer: D

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