U.S. Employment Law and Regulations
Which is a provision of the Family and Medical Leave Act (FMLA)?
Employees are entitled to return to a similar job with the same pay and status. Rationale: The FMLA entitles a covered employee to take up to 12 weeks of unpaid leave in a 12-month period for the birth or adoption of a child or the serious health condition of the employee or the employee's child, spouse, or parent. In most cases, employees must be returned to the same job or one with equivalent status, pay, and benefits.
Nonexempt employees
Employees covered under U.S. Fair Labor Standards Act regulations, including minimum wage and overtime pay requirements.
Exempt employees
Employees who are excluded from U.S. Fair Labor Standards Act minimum wage and overtime pay requirements.
Which activity is prohibited by the National Labor Relations Act (NLRA)?
Employer domination of unions Rationale: The NLRA attempted to balance the interests of management and labor and prohibited the employer from unfair labor practices such as union domination. The NLRA did not prohibit collective bargaining; it established mandatory subjects for collective bargaining.
Which reason best describes why an organization may decide to keep records for longer than the mandatory record retention requirements specify?
Longer statutes of limitations for certain common-law claims Rationale: The statute of limitations for contract, tort, and fraud claims may be longer than the statutory record retention requirements. Organizations may choose to keep records longer than the statutory requirements in order to better respond to potential claims in those areas.
An employee believes that he was laid off for filing charges that the plant managers were enforcing unsafe practices to save time. What is the maximum amount of time OSHA has to complete an investigation of charges of employer discrimination?
90 days Rationale: Employees can expect OSHA to complete investigations of employer discrimination within 90 days.
ADA Amendments Act (ADAAA)
Amendments to U.S. Americans with Disabilities Act covering the definition of individuals regarded as having a disability, mitigating measures, and other rules to guide the analysis of what constitutes a disability.
Workweek
Any fixed, recurring period of 168 consecutive hours (7 days times 24 hours = 168 hours).
An employee claims that a less qualified candidate was selected for a promotion because the candidate was younger and more attractive. The employee files an age discrimination complaint with the Equal Employment Opportunity Commission (EEOC). What step will the EEOC take next if reasonable cause is discovered?
Attempt reconciliation of both parties. Rationale: If a reasonable cause is discovered, the EEOC first attempts reconciliation of the parties. Notifying both parties and ending involvement occurs if a reasonable cause is not found. Sending the respondent a copy of the charge and scheduling a fact-finding conference both occur before the EEOC reviews the charge and assesses whether there was reasonable cause.
Which is a key provision of the Older Workers Benefit Protection Act (OWBPA) of 1990?
Benefits offered to older workers must be equal to those offered to younger workers. Rationale: OWBPA provides that benefits offered to older workers must be equal to those offered to younger workers.
How would an organization best defend against a claim of adverse impact?
By demonstrating work-related requirements Rationale: There are some exceptions to Title VII of the Civil Rights Act. According to the work-related requirements exception under Title VII, an employer may be able to defend a practice that has a disparate impact on a class of people if it is job-related and required by business necessity.
An employer is investigating alleged misconduct by an employee who is a union member. What must the employer allow during any investigatory interview of the employee, if requested?
Presence of a union representative in the interview Rationale: Under the Weingarten ruling, the employee may request the presence of a union representative in the interview. The employee does not have to be allowed his or her personal attorney or the ability to respond in writing to questions or to review video evidence prior to an interview.
Independent contractors
Self-employed individuals hired on a contract basis for specialized services.
Sexual orientation
Sexual, romantic, or emotional/spiritual attraction that one feels for persons of the opposite sex or gender, the same sex or gender, or both sexes and more than one gender.
General Duty Clause
Statement in U.S. Occupational Safety and Health Act that requires employers subject to OSHA to provide employees with a safe and healthy work environment.
Prudent person rule
States that a fiduciary of a plan covered by the U.S. Employee Retirement Income Security Act has legal and financial obligations not to take more risks when investing employee benefit program funds than a reasonably knowledgeable, prudent investor would under similar circumstances.
Disparate treatment
Type of discrimination that occurs when an applicant or employee is treated differently because of his or her membership in a protected class.
Disparate impact
Type of discrimination that results when a policy that appears to be neutral has a discriminatory effect; also known as adverse impact.
Adverse impact
Type of discrimination that results when a policy that appears to be neutral has a discriminatory effect; also known as disparate impact.
Quid pro quo harassment
Type of sexual harassment that occurs when an employee is forced to choose between giving in to a superior's sexual demands and forfeiting an economic benefit such as a pay increase, a promotion, or continued employment.
Equal Employment Opportunity Act
U.S act that amended Title VII and gave the Equal Employment Opportunity Commission authority to "back up" its administrative findings and conduct its own enforcement litigation.
Fair Labor Standards Act (FLSA)
U.S act that establishes minimum wage, overtime pay, youth employment, and record-keeping standards affecting full- and part-time workers in the private sector and in federal, state, and local governments.
Fair Credit Reporting Act (FCRA)
U.S act that protects privacy of background information and ensures that information supplied is accurate.
Family and Medical Leave Act (FMLA)
U.S act that provides employees with up to 12 weeks of unpaid leave to care for family members or because of a serious health condition of the employee.
National Federation of Independent Business v. Sebelius
U.S. Supreme Court ruling that Patient Protection and Affordable Care Act requirement that individuals purchase health insurance was constitutional but requirement that states expand Medicaid was not.
Older Workers Benefit Protection Act (OWBPA)
U.S. act that amended the Age Discrimination in Employment Act to include all employee benefits; also provided standards that an employee's waiver of the right to sue for age discrimination must meet in order to be upheld by a court.
Occupational Safety and Health (OSH) Act
U.S. act that established the first national policy for workplace safety and health and continues to deliver standards that employers must meet to guarantee the health and safety of their employees.
Employee Retirement Income Security Act (ERISA)
U.S. act that established uniform minimum standards to ensure that employee benefit and pension plans are set up and maintained in a fair and financially sound manner.
Civil Rights Act of 1991
U.S. act that expands the possible damage awards available to victims of intentional discrimination to include compensatory and punitive damages; gives plaintiffs in cases of alleged discrimination the right to a jury trial.
Labor Management Reporting and Disclosure Act (LMRDA)
U.S. act that imposed regulations on internal union affairs and the relationship between union officials and union members.
Labor-Management Relations Act (LMRA)
U.S. act that imposed several restrictions and requirements on unions.
Immigration Reform and Control Act (IRCA)
U.S. act that prohibits discrimination against job applicants on the basis of national origin or citizenship and establishes penalties for hiring undocumented workers.
Age Discrimination in Employment Act (ADEA)
U.S. act that prohibits discrimination in the workplace on the basis of age.
Equal Pay Act (EPA)
U.S. act that prohibits wage discrimination by requiring equal pay for equal or "substantially equal" work performed by men and women.
National Defense Authorization Acts (NDAA)
U.S. acts that expanded FMLA leave for employees with family members who are covered members of the military.
Burlington Industries, Inc. v. Ellerth
U.S. court ruling that distinguished between supervisor harassment that results in tangible employment action and supervisor harassment that does not.
Phillips v. Martin Marietta Corporation
1971 U.S. case that stated that an employer may not, in the absence of business necessity, refuse to hire women with preschool-aged children while hiring men with such children.
Lechmere, Inc. v. NLRB
1992 case in which the U.S. Supreme Court ruled that an employer cannot be compelled to allow nonemployee organizers onto the business property.
Ledbetter v. Goodyear Tire and Rubber Company
2007 case in which the U.S. Supreme Court ruled that claims of sex discrimination in pay under Title VII were not timely because discrimination charges were not filed with the EEOC within the required 180-day time frame.
Patient Protection and Affordable Care Act (PPACA)
2010 U.S. law that requires virtually all citizens and legal residents to have minimum health coverage and requires employers with more than 50 full-time employees to provide health coverage that meets minimum benefit specifications or pay a penalty.
Glocalization
Characteristic of an organization with a strong global image but an equally strong local identity.
What source of law ensures that the same principle applied in one court decision is used to make future legal determinations?
Common law Rationale: Common law is the source of law that establishes legal precedent.
Comparable worth
Concept that jobs filled primarily by women that require skills, effort, responsibility, and working conditions comparable to similar jobs filled primarily by men should have the same classifications and salaries.
Bona fide occupational qualification (BFOQ)
Factor (such as religion, gender, national origin, etc.) that is reasonably necessary, in the normal operations of an organization, to carry out a particular job function.
Civil Rights Act of 1964
First comprehensive U.S. law making it unlawful to discriminate on the basis of race, color, religion, sex, or national origin.
Which is a critical component of maintaining electronic employee records as opposed to paper-based records?
Frequent backups of all data Rationale: Frequent backup of electronic employee records is required for protection against data loss or corruption.
A supervisor overhears an employee talking on the phone about a test for a hereditary form of breast cancer, and the supervisor subsequently denies the colleague a promotion based on this information. Which legislation does this action violate?
GINA Rationale: The Genetic Information Nondiscrimination Act (GINA) makes it unlawful to discriminate against an employee based on genetics.
Employees
Individuals who exchange work for wages or salary; in the U.S., workers who are covered by Fair Labor Standards Act regulations as determined by the IRS.
NLRB v. Weingarten
Landmark 1975 U.S. labor relations case that dealt with the right of a unionized employee to have another person present during certain investigatory interviews.
Hostile environment harassment
Occurs when sexual or other discriminatory conduct is so severe and pervasive that it interferes with an individual's performance; creates an intimidating, threatening, or humiliating work environment; or perpetuates a situation that affects the employee's psychological well-being.
Protected class
People who are covered under a particular federal or state antidiscrimination law.
Essential functions
Primary job duties that a qualified individual must be able to perform, either with or without accommodation.
Uniform Guidelines on Employee Selection Procedures
Procedural document designed to assist employers in complying with federal regulations prohibiting discrimination.
Gender identity
Refers to one's internal, personal sense of being a man or a woman (or boy or girl), which may or may not be the same as one's sexual assignment at birth.
National origin
Refers to the country (including those that no longer exist) of one's birth or of one's ancestors' birth.
Public comment period
Time allowed for the public to express its views and concerns regarding an action of an administrative agency.
Weingarten rights
Union employees' right in U.S. to have a union representative or coworker present during an investigatory interview.
The Americans with Disabilities Act (ADA) applies to all employers, excluding the federal government, with at least how many employees?
15 Rationale: The ADA applies to employers with 15 or more employees. It protects qualified individuals with disabilities from unlawful discrimination in the workplace, including access to training and career development. The ADA does not cover the federal government when it acts as an employer.
An organization terminates an employee due to an organizational restructuring in response to lagging sales numbers. What is the maximum length of continuation of COBRA benefits for the terminated employee?
18 months Because the employee was not terminated for gross misconduct, COBRA coverage may be extended for up to 18 months. Had the employee been terminated for gross misconduct, he or she would not be able to extend coverage (if the employer elected to apply the gross misconduct exception). If the employee was disabled at the time of termination, he or she would be eligible to continue coverage for 29 months. The 36-month coverage extension applies to situations involving divorce or death of the employed spouse or where a dependent child loses eligibility status.
What is the general minimum eligibility requirement set by ERISA for employer-sponsored 401(k) plans?
21 years of age working at least 12 months Rationale: The minimum eligibility requirement under ERISA is the attainment of 21 years of age and 12 months of service. An employer can lower the requirement (for example, to 19 years of age or ten months of service), but it cannot raise the minimum.
Drug-Free Workplace Act
U.S. law that requires federal contractors with contracts of $100,000 or more as well as recipients of grants from federal government to certify that they are maintaining a drug-free workplace.
Disability
Physical or mental impairment that substantially limits one's major life activities.
Under the Worker Adjustment and Retraining Notification (WARN) Act of 1988, a plant with over 100 employees must give what minimum number of days of advance written notice of a plant closure?
60 calendar days Rationale: With very limited exceptions, WARN specifies a minimum of 60 calendar days.
Which statement is correct under the Americans with Disabilities Act?
Accommodation is not required if it results in undue hardship for the organization. Rationale: Employers are not required to make accommodations that result in undue hardship. Current users of illegal drugs are excluded by the law, but rehabilitated drug users are not. Pre-employment medical examinations may be required after a job offer is extended. There is no requirement to develop affirmative action plans for candidates with disabilities.
An HR director is tasked with the fiduciary duty for the organization's retirement plan. What action best describes this obligation?
Acting in the best interest of the employees who participate in the plan Rationale: A fiduciary duty (or fiduciary obligation) implies a legal obligation of one party to act in the best interest of another. The obligated party is typically referred to as a "fiduciary" (e.g., an individual or party entrusted with the care of money or property).
Veto
Action of rejecting a bill or statute.
An HR professional transitioned into a new role that requires thorough knowledge of federally mandated laws in order to create new organizational policies. Which is the best resource to ensure federal compliance?
Administrative agencies Rationale: Administrative agencies are the best resource, as their guidelines interpret how laws and regulations will be enforced by organizations. The Constitution provides basic principles but not guidelines that influence how an organization operates, and the Bill of Rights guarantees such rights as freedom of speech. While using the knowledge of other HR professionals can be helpful, it is not the best answer.
The president of the United States issues a directive on immigration. This is an example of a legal protection originating from what source?
Executive order Rationale: An executive order is a directive originating from the chief executive of a governmental unit.
An organization is opening a new factory in the United States. Due to availability issues, the factory will be temporarily unable to comply with an OSHA standard regarding required safety equipment. What should the organization do?
Apply to OSHA for a temporary variance from the standard due to the unavailability of required equipment. Rationale: Employers may apply for a temporary variance from a standard due to the unavailability of materials, equipment, or personnel needed to make necessary changes. This would potentially allow the organization to avoid postponing the opening of the new factory, and it does not carry the risk of penalties due to noncompliance with OSHA standards.
What does the Immigration Reform and Control Act (IRCA) do?
Enforces penalties for undocumented workers Rationale: The IRCA establishes penalties for undocumented workers through the use of E-Verify and Form I-9, which requires workers to prove their eligibility to work in the U.S. The U.S. Citizenship and Immigration Services (USCIS), not the IRCA, handles the authorization of workers. Increasing border security and decreasing the immigrant labor force are in opposition to the IRCA's purpose of prohibiting discrimination based on national origin or citizenship.
Which record-keeping practice ensures record retention compliance?
Conducting annual audits of employer and personnel files Rationale: Conducting annual audits will help ensure that files are complete, documents are stored in the proper location, and the appropriate retention period is observed. Maintaining duplicate files could actually increase the risk that documents will be managed inappropriately. In order to be in compliance, employers should observe the longer of two or more applicable retention periods. Keeping digital records rather than paper files will not ensure compliance because the same risks for violations exist for electronic files as for physical ones.
Which position may require an applicant to take a polygraph test?
Delivery driver for a pharmaceutical firm Rationale: A lie detector test can be administered to prospective employees if the employees will have direct access to the manufacture, distribution, or dispensation of certain controlled substances.
Which protocol should HR use when converting from paper to electronic record storage?
Department of Labor's "Final Rules" Rationale: To follow specified protocols, employers may use guidelines that the Department of Labor has published called "Final Rules Relating to Use of Electronic Communication and Recordkeeping Technologies by Employee Pension and Welfare Benefit Plans," shortened to "Final Rules." OSHA Form 300A is used to report workplace injuries and illnesses. The other options do not exist.
Which does not count toward the regular rate of pay for overtime calculations?
Discretionary bonuses Rationale: Discretionary bonuses do not count toward the regular rate of pay. All the other choices (shift premiums, sales commissions, and production bonuses) do count toward overtime calculations.
What is a key employer responsibility under the Occupational Safety and Health (OSH) Act?
Display the OSHA poster in a conspicuous place where it can be seen by all employees. Rationale: The OSHA poster must be displayed in a conspicuous place where it can be seen and read by all employees. A copy of the OSH Act must be made available to employees upon request, but the act does not specify that it must always be provided at the time of hire. Employers must provide personal protective equipment at the organization's expense, except for prescription eyewear and footwear that can be used off the job. OSHA citations must be posted at the worksite where an alleged violation has occurred, but permanent display of OSHA standards at all workstations is not required.
Which of the following is the best reason to maintain employment records electronically?
Easier storage and access for records that span many years Rationale: In the event that a claim is asserted, HR needs to be able to access documents even remotely related to the claim. Because of Department of Labor guidelines, electronic record-keeping systems should be capable of indexing, retaining, preserving, retrieving, and reproducing all electronic records stored in the system with relative ease. This represents the best reason to maintain records electronically.
A key manager is retiring, and the company wants her to keep working in a part-time capacity. She will work 20 hours a week and continue to perform a portion of her old duties. What Fair Labor Standards Act (FLSA) classification should the HR manager recommend for the manager?
Exempt employee Rationale: The manager is considered a key employee, and, under the FLSA, manager is an exempt role. She is not working on a temporary or project basis and so is not an independent contractor or a temporary employee. The manager is too senior to be nonexempt.
What undergoes a systematic and comprehensive evaluation during an HR audit?
HR policies, practices, procedures, and strategies Rationale: In an HR audit, an organization's HR policies, practices, procedures, and strategies undergo a systematic and comprehensive evaluation. This helps to establish whether specific practice areas or processes are adequate, legal, and effective. Gaps identified through HR audits can be prioritized for corrective action.
Which is regulated by the Fair Labor Standards Act (FLSA)?
Overtime pay Rationale: Commonly referred to as the Wage and Hour Law, the FLSA governs employee status, overtime pay, and minimum wage. Employee benefits, sales commissions, and equal pay are not governed by the FLSA.
What is an example of HR's involvement during the discovery process of an employment lawsuit?
Helping the employer's legal counsel gather information to prepare initial disclosures Rationale: During discovery, HR may be required to help the employer's legal counsel gather information that relates to the lawsuit. This occurs before final trial preparation and litigation and after personnel files and other related documents have been provided to the legal counsel. Ensuring that employees refrain from retaliation should be one of the first things that HR does, and it occurs during the notification step.
How does the Patient Protection and Affordable Care Act (PPACA) amend the Consolidated Omnibus Budget Reconciliation Act (COBRA)?
PPACA requires coverage of an employee's adult children up to age 26. Rationale: Under PPACA, employers are required to notify COBRA participants, in addition to their general employee populations, that adult children may be eligible for health plan coverage up to age 26.
Which act requires an organization with more than 50 full-time employees to provide health coverage that meets minimum benefit specifications or pay a $2,000-per-employee penalty?
Patient Protection and Affordable Care Act Rationale: This is one of the key provisions of the Patient Protection and Affordable Care Act.
Occupational injury
Injury that results from a work-related accident or exposure involving a single incident in the work environment.
A employee learns that a coworker earns a higher hourly rate for the same job and asks the supervisor for a pay increase. As a result, the supervisor prohibits employees from discussing their pay. The supervisor is participating in which unfair labor practice?
Interfering with employees' engagement in concerted activity Rationale: The National Labor Relations Act (NLRA) protects employees' right to discuss their wages, benefits, and working conditions. Preventing employees from doing so interferes with employees' engagement in concerted activity. The other responses are also considered unfair labor practices but do not address the restraining of employees from exercising their rights under the NLRA.
How does the Weingarten case apply to an investigatory meeting to obtain information that is the basis for disciplinary action?
It allows a union representative to be present during the meeting. Rationale: The Weingarten case gave union workers the right to request the presence of a union representative at an investigatory meeting (a meeting whose purpose is to gather facts). Friends, relatives, or an attorney may not be present. These rights apply only to an investigatory interview, not to meetings that impose disciplinary action.
Which best describes common law?
It evolves over time through judicial decisions. Rationale: Common law is based on judicial decisions rather than legislative actions. Because these legal precedents can change over time, common law can evolve gradually.
Which of the following is true about employment practices liability insurance (EPLI)?
It usually covers legal costs regardless of the outcome of the case. Rationale: EPLI usually covers legal costs, no matter what the outcome of the case is. It typically does not cover punitive damages or civil or criminal fines. It usually does not cover compensation, consistent with relevant state laws. It is designed to cover cases arising at any point in the employment life cycle, from recruitment to termination.
What type of communication helps ensure an employer's compliance with federal, state, and local law?
Labor posters Rationale: Labor posters outline basic information that employees must be made aware of regarding employment law at various levels. The other three answer choices are not legal requirements. Total compensation statements, however, may be appreciated by employees, and organizational training is a beneficial way to ensure that employees are oriented to their new company.
Vicarious liability
Legal doctrine under which a party can be held liable for the wrongful actions of another party.
Which employee must be paid overtime under the Fair Labor Standards Act (FLSA)?
Manager who earns $450 per week Rationale: Each individual employee must qualify for one of the specific exemptions provided by the FLSA to be excluded from the minimum wage and overtime pay requirements of the law. In general, they must meet certain tests regarding their job duties and must be paid on a salary basis at not less than $684 per week.
A large company denies health-care coverage for an employee's daughter who will be turning 26 in six months. What law does this practice violate?
Patient Protection and Affordable Care Act (PPACA) Rationale: According to the Patient Protection and Affordable Care Act, an organization with 50 or more employees is required to cover employees' adult children until age 26.
Which U.S. Supreme Court case found the practice of hiring a male with preschool-aged children over a woman with preschool-aged children to be in violation of Title VII?
Phillips v. Martin Marietta Corporation Rationale: In Phillips v. Martin Marietta Corporation, the U.S. Supreme Court ruled unanimously that it is contrary to Title VII for a company to refuse to hire a woman because she has preschool-aged children when it does not impose a similar restriction on men.
Which of the following is true regarding marijuana laws?
Marijuana remains illegal under the federal Controlled Substances Act. Rationale: Marijuana is legal in multiple states for medical or recreational use, but it remains illegal under the federal Controlled Substances Act. This act does not feature an exemption for medicinal use. Both firing employees following a failed drug test and accommodating employees' use of medicinal marijuana may depend on current state regulations.
Occupational illness
Medical condition or disorder, other than one resulting from an occupational injury, caused by exposure to environmental factors associated with employment.
Amendment
Modification of the U.S. Constitution or a U.S. law.
Reasonable accommodation
Modifying job application process, work environment, or circumstances under which job is performed to enable a qualified individual with a disability to be considered for the job and perform its essential functions.
During a lawful picket, a supervisor threatened a new union member with termination for refusing to cross the picket line. Which law provides the employee protection from termination?
NLRA Rationale: The National Labor Relations Act (NLRA) protects employees who are participating in union activities. The Labor-Management Relations Act (LMRA) oversees union practices, the Fair Labor Standards Act (FLSA) oversees compensation practices for both nonunionized and unionized employers, and the Worker Adjustment and Retraining Notification (WARN) Act refers to employers' obligations in workforce reductions.
An employee believes his union rights have been violated. Who should the employee contact first to file a charge?
NLRB Rationale: The National Labor Relations Board (NLRB) investigates possible employee rights violations by employers or unions. WARN, the Worker Adjustment and Retraining Notification Act, is a piece of legislation, not an agency. The Equal Employment Opportunity Commission (EEOC) is an agency, but it investigates possible violations of antidiscrimination laws. The Occupational Safety and Health Administration (OSHA) investigates possible occupational safety and health violations.
The Immigration Reform and Control Act (IRCA) prohibits discrimination against job applicants on the basis of what?
National origin or citizenship Rationale: The IRCA prohibits discrimination based on national origin or citizenship. Organizations are barred from hiring undocumented workers with certain exceptions, so they must be able to use legal immigration status when verifying employment.
Which best demonstrates an attorney work product?
Notes from interviews done at the attorney's request Rationale: Attorney work product includes reports and notes from investigations and interviews done at the attorney's request. Attorney work product is not subject to discovery (disclosure to the other side in a complaint). Conversations are not work product but are covered under attorney-client privilege and are excluded from disclosure. Preexisting materials identified and preserved as the result of an attorney request for litigation hold are discoverable.
A company extends an offer to a candidate. As a part of the background check process, a credit check is included. Based on the negative report, the hiring manager wants to rescind the offer. How should HR advise the hiring manager?
Notify the candidate of the negative credit report and give the candidate sufficient time to respond. Rationale: The employer must give the candidate notice before taking adverse action and allow reasonable time for the candidate to respond. The other answer choices do not meet the compliance requirements of the Fair Credit Reporting Act.
Which government body requires organizations to electronically submit illness and injury data?
Occupational Safety and Health Administration Rationale: The Occupational Safety and Health Administration has revised its requirements to require certain employers to electronically submit injury and illness data for posting on the agency's website.
Which authoritative resource is considered an agency guideline?
Opinion letter Rationale: An opinion letter is a form of guidance issued by a government enforcement agency in response to a question from the public. It provides an interpretation of a regulation or statute. A public comment is a suggestion or concern provided by the public to a government agency for its consideration during the rule-making process.
If an organization decides to take adverse action against an applicant or an employee based on a credit report, what is the affected individual entitled to do?
Present evidence challenging the information contained in the report. Rationale: Under the Fair Credit Reporting Act (FCRA), individuals who are notified of adverse action being taken against them by an organization due to a credit report are entitled to present information within "a reasonable period of time" that disputes the information contained in the report. If they are able to prove that the organization did not comply with the FRCA, they may sue for financial rewards and damages, but they are not automatically entitled to compensation. Employees or potential employees are not automatically allowed the right to argue their case before a mediator, and they cannot bar the organization from using the report, which had to be authorized by the individual before being conducted.
Vesting
Process by which a retirement benefit becomes nonforfeitable.
Which is the best example of a regulation?
Process by which the Department of Labor clarifies the exempt status of employees Rationale: Regulations are proposed, adopted, and enforced by administrative agencies. The Civil Rights Act of 1964 and the Fair Labor Standards Act are both examples of statutes. An interpretation of legal matters related to expatriation is an example of an agency guideline.
Bill
Proposal presented to a legislative body for possible enactment as a statute.
An HR practitioner voices concerns regarding the actions of an administrative agency through phone calls, letters, and personal visits to elected officials. Which practice is being described?
Public comment period Rationale: The public comment period gives HR practitioners time to express their views and concerns regarding an action of an administrative agency. The court of law is presided over by a judge; at this point, it would be too late to voice concerns. Open forums are large, organized groups where people share their thoughts about agency plans. Information sharing is the exchange of data between organizations.
The Occupational Safety and Health (OSH) Act of 1970 established the first national policy for workplace safety and health. This federal law requires employers to provide safe and healthful working conditions for employees. How often are OSHA inspections scheduled?
Random or when a complaint has been filed Rationale: OSHA inspections are scheduled at random or when a complaint of unsafe conditions has been filed.
Which of the following is a notable provision of the Department of Labor's electronic guidelines for data storage?
Records must be convertible into readable paper copy to satisfy obligations under Title I of ERISA. Rationale: Under the DOL guidelines, records must be readily convertible into legible and readable paper copy to satisfy obligations that may arise under Title I of ERISA. It is crucial to use adequate safety practices, though, as technology changes, best practices will evolve as well. Paper copies of records that are not transferrable to electronic storage systems may be required, but retaining paper copies of every record is not required.
A federal contractor receives an attorney statement claiming discrimination against an employee working in counterintelligence. The employee complains of unlawful termination for refusal to submit a polygraph test following an incident. What exclusion protects the employer under the Employee Polygraph Protection Act (EPPA)?
The federal contractor was involved in national security. Rationale: Federal contractors working on national security and counterintelligence are exempt from the EPPA. Policy violation, reasonable suspicion, and not receiving an EEOC claim are not reasons for exclusion from EPPA provisions for federal contractors working in these areas.
Which type of rules or orders that have the force of law are issued by the U.S. Environmental Protection Agency?
Regulations Rationale: Regulations reflect how laws will be implemented and often have the force of law. An amendment is a modification to the Constitution or a law. A bill is a proposal presented to a legislative body for possible enactment as a statute. An executive order is a directive for a governmental unit.
During a company event at a local establishment, an employee fractures his arm. An HR coworker is unsure of whether this should be reported to OSHA and asks the HR manager's opinion. What should the HR manager recommend?
Report an occupational injury to OSHA within 24 hours of learning about the event. Rationale: A fracture is an occupational injury, and OSHA requires that occupational injuries be reported within 24 hours of learning about the event. Although the event occurred off-site, it was a company-sponsored outing and the person was there in his role as an employee; therefore, it is considered an extension of the traditional workplace.
Which is an employee right identified under the Occupational Safety and Health (OSH) Act?
Requesting an OSHA inspection Rationale: If employees believe an unsafe situation exists, they have the right to request an OSHA inspection. However, they are obligated to follow the employer's safety procedures, wear the proper protective equipment, and go through the proper channels in raising safety issues. The OSH Act does not deal with unfair labor practices.
Overtime pay
Required for nonexempt workers under U.S. Fair Labor Standards Act at 1.5 times the regular rate of pay for hours over 40 in a workweek.
Regulation
Rules or orders issued by an administrative agency of government that usually have the force of law.
Sarbanes-Oxley Act (SOX)
U.S. act that requires that all publicly held companies establish internal controls and procedures for financial reporting to reduce the possibility of corporate fraud.
Griggs v. Duke Power
U.S. case that set the standard for determining whether discrimination based on disparate impact exists.
Faragher v. City of Boca Raton
U.S. court ruling that distinguished between supervisor harassment that results in tangible employment action and supervisor harassment that does not.
Which statement about Equal Employment Opportunity Commission (EEOC) procedures regarding an alleged Title VII violation is correct?
The charging party is given notice of the right to sue in court if no reasonable cause is found. Rationale: If the EEOC determines that there is no reasonable cause, the complainant is given notice of the right to sue, allowing the employee to file suit in court if he or she chooses. The EEOC has jurisdiction only over private companies with at least 15 employees. The EEOC determines if there is reasonable cause. Charges must be filed within 180 days or 300 days if there is a state agency that also investigates charges of discrimination.
A new employee gives birth after 10 months of employment. Under Family and Medical Leave Act (FMLA) regulations, how much unpaid time off is the employee eligible for?
The employee is not eligible for FMLA leave. Rationale: The employee is not eligible for FMLA leave because employees must have been employed for a 12-month period to be eligible for FMLA leave.
A company with 100 employees has a remote full-time employee who lives across the country and is about to give birth. What is she entitled to under the FMLA?
The employee is not entitled to any leave. Rationale: The employee is not entitled to any leave because she does not work within 75 miles of a location that has 50 or more employees. The FMLA provisions do not extend to her.
An employer, a university performing grant work for a department of the U.S. federal government, discovers through random testing that an employee has been using a controlled substance, but not in the workplace. How should HR advise the employee's manager?
The employee should be directed into a counseling program. Rationale: The employee may be protected under the provisions of the ADA, and the safest course is to require that the employee receive counseling. If the employee had been under the influence while at work and the employer's policy prohibited this, the employer might, with legal review, fire the employee immediately. The university should have had such a policy under the Drug-Free Workplace Act of 1988, which requires some federal contractors and all federal grantees to provide drug-free workplaces. The act requires notification only about convictions and requires some form of sanctions on convicted employees, which could include counseling. Simply warning the employee is an inadequate action.
A family-owned business with 100 employees wants to set up a retirement plan. If the organization implements a qualified defined contribution plan, what restrictions does the Employee Retirement Income Security Act impose on the investment of the assets?
The employer has a fiduciary responsibility to invest the pension fund as any prudent person would. Rationale: The employer must follow the prudent person rule with respect to its handling, investment, and management of the plan's assets. The employer cannot take more risks than a reasonably knowledgeable, prudent investor would under similar circumstances. Conflicts of interest do not always have to be disclosed. Investment advisors are not required to be registered investment brokers. The Pension Benefit Guaranty Corporation does not insure retirement plans that do not promise specific benefit amounts.
Pregnancy Discrimination Act
U.S. act that prohibits discrimination on the basis of pregnancy, childbirth, or related medical conditions.
National Labor Relations Act (NLRA)
U.S. act that protected and encouraged the growth of the union movement; established workers' rights to organize and bargain collectively with employers.
Uniformed Services Employment and Reemployment Rights Act (USERRA)
U.S. act that protects the employment, reemployment, and retention rights of persons who serve or have served in the uniformed services.
Consolidated Omnibus Budget Reconciliation Act (COBRA)
U.S. act that provides individuals and dependents who may lose health-care coverage with opportunity to pay to continue coverage.
Worker Adjustment and Retraining Notification (WARN) Act
U.S. act that requires some employers to give a minimum of 60 days' notice if a plant is to close or if mass layoffs will occur.
Key contributors to a recently completed project received bonuses. A male employee received $4,000. A female employee in another state received $10,000. The male employee files a complaint with the Equal Employment Opportunity Commission (EEOC). The EEOC does not find reasonable cause for the complaint. What may happen next?
The male employee may file a lawsuit against the employer. Rationale: If the EEOC does not find reasonable cause, the complainant (here, the male employee) is notified of the finding and of a right to sue the employer. The EEOC's involvement ends here.
Workplace harassment is a violation of which legislation?
Title VII of the Civil Rights Act of 1964 Rationale: Workplace harassment is prohibited by Title VII of the Civil Rights Act of 1964.
What is the purpose of an HR compliance checklist?
To help ensure that the organization fulfills the requirements of HR laws and regulations Rationale: HR audits and compliance checklists are often used to help ensure compliance with laws and regulations. They may lead an organization to correct disparities between required and actual practices. They may also lead to an image of propriety and garner positive word-of-mouth, but that is not their purpose.
Employment practices liability insurance (EPLI)
Type of liability insurance covering an organization against claims by employees, former employees, and employment candidates alleging that their legal rights in the employment relationship have been violated.
Fair and Accurate Credit Transactions Act (FACT Act)
U.S act that frees employers who use third parties to conduct workplace investigations from the consent and disclosure requirements of the Fair Credit Reporting Act in certain cases.
Genetic Information Nondiscrimination Act (GINA)
U.S act that prohibits discrimination against individuals on the basis of their genetic information in both employment and health insurance.
Lilly Ledbetter Fair Pay Act
U.S. act that creates a rolling time frame for filing wage discrimination claims and expands plaintiff field beyond employee who was discriminated against.
Portal-to-Portal Act
U.S. act that defines what is included as hours worked and is therefore compensable and a factor in calculating overtime.
Employee Polygraph Protection Act (EPPA)
U.S. act that prevents private employers from requiring applicants or employees to take a polygraph test for preemployment screening or during the course of employment, with certain exemptions.
Americans with Disabilities Act (ADA)
U.S. act that prohibits discrimination against a qualified individual with a disability because of his/her disability.
What procedural document outlines the requirements that an employer needs to follow in order to show that it does not discriminate in its hiring process?
Uniform Guidelines on Employee Selection Procedures Rationale: The Uniform Guidelines cover all aspects of the selection process, including recruiting, testing, interviewing, and performance appraisals. Its purpose is to assist employers in complying with federal regulations against discrimination. The other choices set forth the law but do not assist employers in complying with it.
Which must be permitted when conducting an investigative interview of a union employee?
Union representative adding information supporting the employee's case Rationale: The union representative must be allowed to add information supporting the employee's case at the end of the interview. The employer is not required to bargain with the representative during an investigative interview. The union representative cannot tell the employee what to say during the interview. The employee may be prohibited from bringing an attorney or a relative to the interview.
How does the Veterans Opportunity to Work (VOW) to Hire Heroes Act amend the Uniformed Services Employment and Reemployment Rights Act (USERRA)?
VOW recognizes claims of a hostile work environment on account of an individual's military status generally. Rationale: VOW amends USERRA to recognize claims of a hostile work environment on account of an individual's military status generally. All other options are part of the initial USERRA regulatory provisions.
