Deck 12: The Employment Agreement.

Question 1

The Patient Protection and Affordable Care Act prohibits insurers from denying health-care coverage or charging higher premiums due to preexisting conditions.

Answer 1

True

Question 2

Because federal law preempts the area,states have not enacted legislation regarding drug testing of private employees.

Answer 2

False

Question 3

The Occupational Safety and Health Administration (OSHA)has safety requirements but no requirements regarding recordkeeping.

Answer 3

False

Question 4

A private-sector employee can avoid at-will status by negotiating a contract that provides for a specific term of employment and defines how the contract can be terminated.

Question 5

State and local governments are prohibited from complying with the overtime provisions of the Fair Labor Standards Act by giving employees compensatory time in lieu of overtime pay.

Question 6

Even if an individual is an at-will employee,in most states the employer is prohibited from discharging the employee for a reason that violates public policy.

Question 7

Because of sufficient federal protection,states have not enacted laws addressing illegal immigration.

Question 8

The National Labor Relations Act prohibits employers from discriminating against any employee to encourage or discourage membership in any labor organization.

Question 9

The federal Sarbanes-Oxley Act removed several federal whistleblower provisions applicable to nongovernment employees.

Question 10

In United States v.Windsor case referenced in the text,the U.S.Supreme Court struck down the Defense of Marriage Act,holding that DOMA was an unconstitutional deprivation of liberty protected by the Fifth Amendment.

Question 11

Payment of workers' compensation is based on fault.

Question 12

In CASE 12.1Perez v.Progenics Pharmaceuticals,Inc.(2013)plaintiffPerez was a chemist who was fired after issuing a memo disputing the company's public representations to shareholders,calling it "fraud" and "illegal." Perez sued claiming his termination was in retaliation against him,in violation of Sarbanes-Oxley.

Question 13

Rights under the Employee Polygraph Protection Act can be waived in advance by the employee.

Question 14

Regarding drug testing,the Fifth Amendment's ban on unreasonable searches and seizures applies only to governmental activity.

Question 15

States vary in their willingness to enforce noncompete agreements.

Question 16

The Fair Labor Standards act does not limit the number of hours that an employee may work in a workweek or workday,as long as the employee is paid appropriate overtime.

Question 17

The WARN act requires employers to give employees at least 120 days advance notice of a plant closure affecting at least 50 employees.

Question 18

The Employee Polygraph Protection Act completely bans the use of polygraph exams.

Question 19

Around half the states originally followed the employment-at-will rule.

Question 20

Section 7 of the NRLA gives union employees the right to engage in "concerted activities" for collective bargaining or other mutual aid or protection.

Question 21

Which of the following is true regarding compensation for hours worked under the Fair Labor Standards Act when an employee is asked to be on standby-that is,available to return to work while off duty?

A) If an employee is asked to be on standby, the hours spent on standby will not be counted as hours worked if the employee is generally free to use the time for his or her own purposes.
B) If an employee is asked to be on standby, the hours spent on standby will be counted as hours worked for which the employee is entitled to compensation even if the employee is generally free to use the time for his or her own purposes.
C) If an employee is asked to be on standby, the hours spent on standby will be counted as hours worked; but the employee is only entitled to one-half of the employee's regular pay for those hours.
D) If an employee is asked to be on standby, the hours spent on standby will be counted as hours worked; but the employee is only entitled to three-fourths of the employee's regular pay for those hours.

Question 22

What type of statutes protect employees who report illegal activities going on within their company?

A) Reporting statutes
B) Revealing statutes
C) Discovery statutes
D) Whistleblower statutes

Question 23

__________ purport to give an employer the right to recoup some or all of an employee's stock option gain if he or she goes to work for a competitor within a certain period of time following exercise of the option.

A) Climb back provisions
B) Incline clauses
C) Let loose clauses
D) Clawback provisions

Question 24

The U.S.Supreme Court struck down Arizona's "Legal Arizona Worker's Act of 2007" because it went beyond the Immigration Reform and Control Act's savings clause which preempts states from imposing civil or criminal sanctions on employers hiring aliens other than through licensing or similar laws.

Question 25

Which of the following is true regarding genetic testing by employers?

A) There is a federal law prohibiting all employers from firing employees based on genetic information.
B) There is no federal law prohibiting employers from firing employees based on genetic information, but many states have laws prohibiting the firing of employees based on genetic information.
C) There is a federal law prohibiting employers of health care workers from firing employees based on genetic information, but other than that, employers are not subject to any limitations.
D) There is a federal law prohibiting employers of over a certain number of employees from firing employees based on genetic information.

Question 26

Pursuant to federal law,states have the same rules in place in regard to implied contracts of employment.

Question 27

Which of the following are included within OSHA requirements regarding posting of information?

A) OSHA requires that notices of any potentially dangerous conditions be posted.
B) OSHA requires that any citations for violations be posted.
C) OSHA requires that notices of any potentially dangerous conditions be posted and also that citations for penalties be posted.
D) OSHA does not have any posting requirements.

Question 28

A(n)__________ plan is a defined contribution pension plan funded with contributions by the participants or a combination of participant and employer contributions.

A) 630(b)
B) 401(k)
C) employee stock ownership
D) defined benefit pension

Question 29

The National Labor Relations Act prohibits employers from interrogating employees about union sentiment or activity.

Question 30

Which of the following provides whistleblower protection for employees who provide information of illegality to the SEC?

A) The Employee Retirement and Protection Income Security Act
B) The Dodd-Frank Wall Street Reform and Consumer Protection Act
C) The Wagner Act
D) The SEC Accountability and Reform Act to Protect Consumer Investors

Question 31

Which of the following is true regarding private employer monitoring of employee e-mail on company-owned equipment?

A) There is a federal law prohibiting private employers from monitoring employee e-mail on company-owned equipment.
B) Most states have state laws prohibiting private employers from monitoring employee e-mail on company-owned equipment.
C) Most states allow private employers to monitor employee e-mail on company-owned equipment, but employees must first be warned that the e-mail will be monitored.
D) Most courts have upheld a private employer's right to monitor employee e-mail on company-owned equipment.

Question 32

Which of the following is NOT typically true of a state workers' compensation statute?

A) The system is no-fault.
B) The system is based on the principle that the risks of injury in the workplace should be borne by the state.
C) An employee is entitled to benefits regardless of the level of safety in the work environment.
D) An employee is entitled to benefits regardless of the degree to which the employee's carelessness contributed to the incident.

Question 33

TheNat'l Treasury Emps.Union v.Von Raabcase referenced in the text,involved the testing of U.S.Customs Service employees in line for transfer or promotion to certain sensitive positions involving drug interdiction or the handling of firearms.How did the U.S.Supreme Court rule?

A) That drug testing would be allowed only if the government could establish evidence of a drug problem among that group of customs employees.
B) That the drug testing was illegal and unconstitutional.
C) That the drug testing was justified by the need for national security and by the extraordinary safety hazards attendant to the positions involved.
D) That the drug testing would be allowed because the customs employees, as public employees, had no greater rights than private employees.

Question 34

Under federal law,it is illegal to employ anyone under the age of __________,except in specified agricultural occupations.

A) fourteen
B) fifteen
C) sixteen
D) seventeen

Question 35

The federal agency responsible for enforcing the provisions of the Occupational Safety and Health Act is the:

A) Occupational Safety and Health Administration.
B) Safe Workplace Administration.
C) Health in the Workplace Administration.
D) Federal Employment Oversight Administration.

Question 36

Congress has introduced the Fair Minimum Wage Act of 2013,which would increase the minimum wage to __________ by 2016.

A) $10.10 per hour
B) $8.88 per hour
C) $6.75 per hour
D) $15.00 per hour

Question 37

Assuming a jurisdiction permits noncompete agreements,which of the following is considered in determining whether restrictions are reasonable?

A) The duration of limitations
B) Geographic limitations
C) The scope of the activities prohibited and the duration of any limitations
D) The duration of limitations, geographic limitations, and the scope of the activities prohibited

Question 38

In 1938,the FLSA set the first minimum wage at:

A) $1.00 per hour.
B) $2.50 per hour.
C) fifty cents per hour.
D) twenty-five cents per hour.

Question 39

The Fair Labor Standards Act requires that,with some exceptions,every employee be paid __________ for hours worked in excess of __________ hours in a workweek.

A) one and one-half the regular rate of pay; 40
B) two times the regular rate of pay; 40
C) one and one-half the regular rate of pay; 45
D) two times the regular rate of pay; 45

Question 40

Which of the following are generally NOT subject to the employment-at-will rule?

A) Public employees
B) Employees who have express employment contracts for a fixed term and public employees
C) Public employees and union employees
D) Public employees, employees who have express employment contracts for a fixed term, and union employees

Question 41

Generally,employees who earn less than _____ per week are automatically considered eligible for minimum wage and overtime as required by the Fair Labor Standards Act.

A) $240
B) $300
C) $455
D) $550

Question 42

Courts in a minority of states have recognized a bad-faith exception to the at-will employment relationship called the:

A) implied covenant of good faith and fair dealing.
B) imposed contract of fair treatment.
C) imposed contract of fair treatment and ethical conduct.
D) implied obligation of fairness and ethics.

Question 43

Fact Pattern 12-1
Ricardo, an Italian citizen, who is trained in a specialized form of computer programming that is highly in demand, is interested in coming to work in the U.S. A friend of his told him that he could come to the U.S., but that he would not be protected by U.S. employment laws and regulations. Ricardo also understands that a strictly enforced rule is that he could only work in the U.S. for three years. Ricardo is inclined to come to the U.S. but would like additional information regarding his rights and the process.
Roxanne has a serious heart condition.She has worked as an administrator with employer-sponsored health insurance at Big Company for ten years.She has been offered a great job at Up and Coming Company that she would like to take.It pays slightly less but has great opportunities for advancement.Up and Coming has health insurance,but there is a preexisting condition with the insurance excluding coverage for any preexisting health condition for six months.Roxanne says that if she takes the job at Up and Coming she will not be able to afford to continue her health insurance from Big Company.Up and Coming wants her to start immediately.She is in a quandary about what to do.What would you advise her to consider?

A) She should consider relying on the Health Insurance Portability and Accountability Act which would likely prohibit enforcement of the preexisting condition exclusion.
B) She should consider relying on the Consolidated Omnibus Budget Reconciliation Act which would require that Big Company pay for the continuation of her insurance through Big Company for six months.
C) She should file for assistance with the insurance payments under the Worker Adjustment and Retraining Notification Act.
D) She should not take the job with Up and Coming because she cannot afford to take a risk with the preexisting condition exclusion.

Question 44

Employers must complete a(n)_____ form showing verification of the identity and employment eligibility of all persons hired.

A) A-12
B) I-9
C) Imm.1
D) A1

Question 45

Fact Pattern 12-1
Ricardo, an Italian citizen, who is trained in a specialized form of computer programming that is highly in demand, is interested in coming to work in the U.S. A friend of his told him that he could come to the U.S., but that he would not be protected by U.S. employment laws and regulations. Ricardo also understands that a strictly enforced rule is that he could only work in the U.S. for three years. Ricardo is inclined to come to the U.S. but would like additional information regarding his rights and the process.
Refer to Fact Pattern 12-1.If Ricardo comes to the U.S.to work with appropriate documentation,for how long will he generally be authorized to work?

A) For up to two years
B) For up to three years
C) For up to six years
D) For up to ten years

Question 46

Employees who must be paid both minimum wage and overtime as required by the Fair Labor Standards Act are referred to as __________ employees.

A) exempt
B) nonexempt
C) covered
D) accommodated

Question 47

Fact Pattern 12-2
Paige is 64 years old and would like to retire from her job at a large accounting firm. She, however, is concerned about health insurance. She would not be eligible for Medicare benefits until age 65, and due to some serious health conditions, she would not be able to obtain insurance in the private market. She has good health insurance at the accounting firm and is considering putting off her retirement so that she can keep it.
Refer to Fact Pattern 12-2.Assuming Paige exercises her rights under federal law to maintain her insurance with the accounting firm upon her resignation,which of the following is true regarding the premiums?

A) The employer would be required to pay all of the premium.
B) The employer would be required to pay for one-half of the premium, and Paige would be required to pay for one-half.
C) Paige and the employer would pay the premium based upon whatever arrangement was in effect during her period of employment.
D) Paige would have to pay all the premium.

Question 48

Which of the following is true regarding drug testing of public and private employees by employers?

A) There are greater limits on drug testing in relation to public employees as compared to private employees because public employees have rights under the U.S.Constitution.
B) There are greater limits on drug testing in relation to public employees as compared to private employees because private employees have rights under the U.S.Constitution.
C) The limits on drug testing are the same in relation to public and private employees because both categories of employees have rights under the U.S.Constitution.
D) There are no U.S.Constitutional limits on drug testing in relation to either public or private employees because neither category has rights under the U.S.Constitution.

Question 49

The "Inside Story" focuses on Employers' Policies Regarding Employees' Use of Social Media.The NLRB issued guidelines to protect employees' use of social media,especially concerning:

A) concerted activity under Section 7 of the NLRA, including communication to each other about wages, hours, and working conditions.
B) concerted activity under Section 12 of the NRLA, including communication to each other about wages, hours, and working conditions.
C) unfair labor practices under Section 1 of the NRLA, including retaliation emails.
D) a public sector employee's right to freedom of speech and collective bargaining information.

Question 50

Programs in effect in some states requiring employers to pay employees wages approximating the real cost of living in the locality are called __________ ordinances.

A) real cost
B) estimated expense
C) living wage
D) accurate wage

Question 51

Fact Pattern 12-2
Paige is 64 years old and would like to retire from her job at a large accounting firm. She, however, is concerned about health insurance. She would not be eligible for Medicare benefits until age 65, and due to some serious health conditions, she would not be able to obtain insurance in the private market. She has good health insurance at the accounting firm and is considering putting off her retirement so that she can keep it.
Refer to Fact Pattern 12-2.Which of the following would likely enable Paige to keep her insurance with the accounting firm until she is eligible for Medicare?

A) The Health Insurance Portability and Accountability Act
B) The Consolidated Omnibus Budget Reconciliation Act
C) The Employee Security Act
D) The Insurance Protection Act

Question 52

In CASE 12.2 Edwards v.Arthur Anderssn LLP.(2008),plaintiffEdwards was a tax manager at an Arthur Anderson office in Los Angeles.Arthur Anderson was later indicted for its role in the Enron debacle,but an AA subsidiary HSBC offered to hire Edwards conditioned on signing a "termination of non-compete" agreement (TONC).Edwards signed the employment offer but not the TONC.The offer was rescinded and Edwards was terminated.Edwards sued.The main issue dealt with California's statutory ban on most:

A) employee surveillance tactics.
B) 'clawback' agreements.
C) confidentiality agreements.
D) noncompete agreements.

Question 53

List the factors set forth in the text that may give rise to an implied obligation to discharge the employee only for good cause in jurisdictions recognizing the contract-based implied contract judicial exception to the employment-at-will rule.

Question 54

Which of the following is true regarding employment laws within the European Union?

A) The European Union has attempted to bring uniformity to the laws related to termination of employment.
B) No member states of the European Union recognize the U.S.concept of employment at will.
C) The European Union has attempted to bring uniformity to the laws related to termination of employment, but laws of the United Kingdom provide significantly more benefits and legal protection to employees than do the employment laws of France.
D) In order to facilitate trade, the European Union has mandated that all member states apply the same laws regarding employment.

Question 55

Which of the following federal laws governs most employer-sponsored retirement plans as well as many other types of employer-sponsored employee benefit plans?

A) The Consolidated Omnibus Budget Reconciliation Act
B) The Employee Retirement Security Act
C) The National Labor Relations Act
D) The Fair Labor Standards Act

Question 56

In the Harris v.Quinncase discussed in the text,the State of Illinois attempted to compel __________ chosen by Medicaid to pay their __________ fees to the bargaining representative representing their union.

A) public sector employees, union
B) union workers, fair share
C) home-care personal assistants, fair share
D) employers, employees' fair share

Question 57

In a(n)__________,the employer guarantees that the participant will receive an annual benefit for life following retirement,or the actuarial equivalent of such a benefit,based on a formula in the plan regardless of contributions made or the plan's investment performance.

A) defined contribution pension plan
B) 401(k) plan
C) employee stock ownership plan
D) defined benefit pension plan

Question 58

Fact Pattern 12-1
Ricardo, an Italian citizen, who is trained in a specialized form of computer programming that is highly in demand, is interested in coming to work in the U.S. A friend of his told him that he could come to the U.S., but that he would not be protected by U.S. employment laws and regulations. Ricardo also understands that a strictly enforced rule is that he could only work in the U.S. for three years. Ricardo is inclined to come to the U.S. but would like additional information regarding his rights and the process.
Refer to Fact Pattern 12-1.Which of the following would enable Ricardo to work in the U.S.?

A) A passport
B) An H-1B visa
C) A recognized visa
D) A work permit

Question 59

In the Garcetti v.Ceballos case discussed in the text,Ceballos a deputy district attorney with the Garcetti's Los Angeles District Attorney's office,wrote a memo to his supervisors recommending they dismiss a case based on factual inaccuracies in the affidavit that secured a search warrant.Thereafter,Ceballos claimed he suffered retaliation and denial of promotion,and filed suit against the DA's office claiming violations of his First,Fourth and Fifth Amendment rights.The U.S.Supreme Court held:

A) against Ceballos, finding that his First Amendment right was not violated because he breached the attorney client confidentiality agreement.
B) against Garcetti,finding that the DA's office had violated the federal whistleblower statute.
C) against Ceballos, finding that his First Amendment right was not violated because Ceballos spoke as an employee of the DA's office, not as a citizen.
D) against Garcetti,finding that Ceballos' First Amendment rights were violated because Ceballos spoke as an employee of the DA's office, protecting the public.

Question 60

The __________ prohibits employers from using genetic information to make decisions about hiring,firing,or compensation.

A) Family Medical History Act
B) Genetic Prohibition and Protection Act
C) Privacy in Testing Act
D) Genetic Information Nondiscrimination Act

Question 61

What standards are applied in regard to judicial review of ERISA decisions by plan administrators?

Question 62

Joe is the owner of a manufacturing company called ProfitMax.Joe finds out that a union is attempting to organize the employees at ProfitMax.Joe tells you that he will never deal with a union and that he has no plans to pay a higher wage if the union is elected.Joe has plans to tell his supervisors that they may not encourage union activity.Joe has plans to do surveillance regarding which employees attend union meetings so that he can fire them.He is also going to announce to all employees that they will get a raise if they vote against the union.He asks you what his obligations are if the union gets elected and if his other plans are legal.He also wants to know what he can expect from his supervisors,some of whom he is suspicious of supporting the union.What would you tell him?

Question 63

Melody just got out of law school and went to work at Big Law Firm.One of her first assignments is to help a partner who just got reassigned to the employment law section of the firm.The partner asks her to provide information regarding the legality of drug testing.What four factors should Melody tell the partner are considered in determining whether drug testing will be deemed permissible in a particular situation?

Question 64

List exceptions,if any,to the Employee Polygraph Protection Act's ban on polygraph testing.

Question 65

Bertha works for Bad Taste,Inc.She has been employed for over 12 years by the company without a written employment contract.Last year Bertha was promoted to the position of executive secretary.The company policy manual issued 6 years ago promises that no employee may be terminated without 2 prior written warnings regarding poor job performance.Bertha has always received excellent job reviews.Recently the president resigned and was replaced by Fred,who promised to improve productivity by 20%.Bertha has just learned from Fred that she is being replaced by Sheila,who was Fred's former executive secretary.What claims may Bertha make against Bad Taste,Inc.for wrongful discharge? Does the company have any defenses? Discuss fully.