Glossary
Factor Comparison
is a more complex job evaluation method in which jobs are assessed using a set of compensable factors (i.e., skill, responsibilities, effort and working conditions) and then ranked based on the value to the organization. Jobs are compared within the organization to the benchmark jobs and their rates of pay for each factor to determine job salaries.
Factor Weights
are assigned to each compensable factor in a job evaluation system to indicate its overall importance. Factor weights can be based on judgment or on statistical analysis.
Fixed Benefit Plan
is an employee benefit plan that is provided to all eligible employees with the same array of benefits.
Flexible Benefit Plan
is an employer benefit’s package that allows employees to choose the benefits they prefer. Employees are allotted a fixed amount of money and permitted to spend that amount in the purchase of benefit options. Employees can also top up or buy benefits with their own salary.
Flexible Spending Account
(or health care expense account) is an employer deductible, tax-favoured employee benefit that allows employees to use employer-provided health care credits to purchase a wide array of health care services. Employees have separate spending accounts with an allotted maximum to fund allowable health care services.