GPHR Exam Dumps : Global Professional in Human Resource

Standardization is important, but for effectiveadoption, the code must resonateculturally. Aligning global standards withlocal ethics and valuesbuilds relevance and commitment.

GPHR Concept:Global policies should be localized for cultural alignment while upholding core principles.

Comprehensive and Detailed Explanation:

Whilelegal compliance and costare critical, thecentral purposeof compensation strategy is to support theorganization’s goals. This includes:

Attracting and retaining the right talent

Driving performance aligned with global priorities

Supporting mobility and growth markets

GPHR Study Guide Extract – Global Compensation and Benefits / Compensation Strategy Design:

“Compensation strategy must reflect and reinforce the business’s global direction. HR should ensure that pay structures align with talent needs and strategic goals across regions.”

Compliance and equity are enablers, butstrategy alignmentis the foundation.

Comprehensive and Detailed Explanation:

Equalization adjustmentsare intended toneutralize the financial impactof working in a foreign country. These adjustments ensure the assignee neithergains nor loses financiallydue to local tax systems, social programs, or cost differences.

Reimbursement forhost-country welfare contributionsis a prime example. This prevents the employee from paying twice (once in the home country and again abroad), which can cause financial strain.

GPHR Study Guide Extract – Global Compensation and Benefits / International Assignment Compensation:

“Equalization aims to make the assignee financially whole by offsetting additional costs or deductions incurred in the host location. This includes contributions to host-country pension, healthcare, and welfare programs.”

Other items like hardship or education allowances arebenefits, not equalizers.