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Question 2: What is the primary reason why a compensation professional working for a multinationalcompany should understand regulatory requirements and application of rewards globally?
A. Because legal compliance with compensation-related regulations is the responsibility of the
compensation department
B. Because the compensation professional has a fiduciary responsibility to ensure that the financial
resources of their organization are spent in a prudent manner
C. Because it is possible to pay significantly less for talent in different countries and compensation
should advise management on when and where to locate various jobs within the company
D. They shouldn't. Due to the complexities of global regulations and practices, compensation
administration outside of the home country should be outsourced.
Correct Answer: B
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