Question 1

In the context of global rewards, what is an advantage of including "nonstatutory benefits" as part of an organization’s total rewards package?

Options :

A : They are universally accepted across countries

B :

They provide flexibility to offer regionally competitive benefits beyond statutory minimums, improving attraction and retention

C : They are mandated by local laws and require minimal customization

D : They decrease the overall cost of benefits

Answer: B

Question 2

When selecting "benefits service providers" for a global organization, which of the following is essential?

Options :

A : Choosing providers based on cost alone

B : Selecting providers with regional expertise to address local compliance and employee needs

C : Using only home-country providers to simplify management

D : Standardizing benefits regardless of provider expertise

Answer: B

Question 3

When creating an international assignment policy, the company includes "hardship allowances" for employees working in high-risk or less developed areas. Which of the following best explains the purpose of this allowance?

Options :

A : To increase the base salary to offset currency fluctuations

B : To compensate for the physical and psychological challenges of working in a less desirable location

C : To match the local salary levels in the host country

D : To reward high-performing employees during their assignment

Answer: B

Question 4

In a global benefits strategy, which of the following accurately describes statutory and nonstatutory benefits?

Options :

A :

Statutory benefits are optional and based on employee choice, while nonstatutory benefits are mandatory by law

B :

Statutory benefits are required by local laws, while nonstatutory benefits are provided at the company’s discretion

C : Both statutory and nonstatutory benefits are universally standardized across countries

D : Nonstatutory benefits are mandated by host-country governments

Answer: B

Question 5

In a "global recognition program," which of the following should be a key consideration?

Options :

A : Standardizing all recognition awards regardless of region

B :

Aligning recognition practices with both local cultural norms and global organizational objectives to maximize effectiveness

C : Focusing only on monetary rewards to simplify the program

D : Limiting recognition programs to headquarters only

Answer: B

Higher Test Marks with Free Online GR7 Exam Practice

Buying Options: