The Legal Environment of Business, 8e (Kubasek)
Chapter 21 Employment Discrimination
1) Which of the following is true of the employment-at-will doctrine?
A) A contract of employment for an indeterminate term is not terminable.
B) The employment-at-will doctrine places an employer in a position to treat employees
arbitrarily.
C) The employment-at-will doctrine cannot be restricted by state and federal legislation or by
changes in the common law.
D) The applicability of the employment-at-will doctrine is the same in every state.
2) Which of the following is used by an employee to support a claim that an implied contract of
continued employment was in existence?
A) an employment manual specifying grounds for termination
B) an arbitration clause guaranteeing alternative dispute resolution
C) union representation cards signed by 30 percent of employees
D) the Commerce Clause of the U.S. Constitution
3) The exception is an exception to the employment-at-will doctrine that makes it
unlawful to dismiss an employee for taking certain actions in the public interest.
A) implied contract
B) public order
C) implied covenant of good faith and fair dealing
D) public policy
4) In all industrial democracies except the United States, workers are protected by law from
unjust termination.
5) The implied covenant of good faith and fair dealing theory holds that every employment
contract, except an unwritten one, contains an implicit understanding that the parties will deal
fairly with one another.
6) Define the employment-at-will doctrine, and describe the public policy exception to the
employment-at-will doctrine.
7) Which of the following is the purpose of the Fourteenth Amendment?
A) It ensures that no person may be deprived of life, liberty, or property without due process of
law.
B) It prohibits wage discrimination based on sex.
C) It grants former slaves all the rights and privileges of citizenship and guarantees the equal
protection of the law to all persons.
D) It guarantees that all persons in the United States have the same right to make and enforce
contracts and have full and equal benefit of the law.
8) The Civil Rights Act of 1871 prohibits .
A) discrimination by state and local governments on the basis of race and ethnicity
B) discrimination by governments on the basis of a handicap
C) discrimination in employment on the basis of a disability
D) wage discrimination on the basis of sex
9) The was designed to effectuate the Thirteenth Amendment and guarantees that all
persons in the United States have the same right to make and enforce contracts and have full and
equal benefit of the law.
A) Equal Pay Act of 1963
B) Rehabilitation Act of 1973
C) Civil Rights Act of 1866
D) Americans with Disabilities Act of 1991
10) The Fifth Amendment states that no person may be deprived of life.
11) The Thirteenth Amendment granted former slaves all the rights and privileges of citizenship
and guaranteed the equal protection of the law to all persons.
12) The first major civil rights act that was passed immediately after the Civil War was the Civil
Rights Act of 1866.
13) The Civil Rights Act of 1871 was designed to effectuate the Thirteenth Amendment and
guarantees that all persons in the United States have the same right to make and enforce contracts
and have full and equal benefit of the law.
14) Which of the following statements is true of the remedies for the Civil Rights Acts of 1866
and 1871?
A) The acts themselves have specific provisions for remedies.
B) The courts cannot award compensatory damages to the plaintiff.
C) The courts can order the defendant to pay the plaintiff’s attorney’s fees.
D) The courts cannot award punitive damages to penalize the defendant for wrongful conduct.
15) Which of the following is true of the Civil Rights Acts of 1866 and 1871?
A) The Civil Rights Acts of 1866 and 1871 have specific provisions for remedies.
B) A claim under the Civil Rights Acts of 1866 and 1871 cannot be added to a claim under
another antidiscrimination statute.
C) The Civil Rights Acts of 1866 and 1871 are interpreted very narrowly and are applied to
prohibit discrimination based only on race.
D) The Civil Rights Acts of 1866 and 1871 do not require the plaintiff to first attempt to resolve
the discrimination problem through any administrative procedures.
16) The Civil Rights Acts of 1866 and 1871 have specific provisions for remedies.
17) Initially, the civil rights acts were interpreted very narrowly to prohibit discrimination based
only on race.
18) A claim under the 1866 or 1871 Civil Rights Act cannot be added to a claim under another
antidiscrimination statute.
19) The Equal Pay Act of 1963 was an amendment to the Act.
A) Fair Labor Standards
B) Lilly Ledbetter Fair Pay
C) Occupational Safety and Health
D) Family and Medical Leave
20) Which party bears the initial burden of proof in a typical Equal Pay Act case?
A) plaintiff
B) defendant
C) Fair Labor Practices Commission (FLPC)
D) National Labor Relations Board (NLRB)
21) For the purposes of the Equal Pay Act, is defined as experience, education,
training, and ability required to do the job.
A) similar working conditions
B) responsibility
C) effort
D) skill
22) For the purposes of the Equal Pay Act, is measured by the economic and social
consequences that would result from a failure of the employee to perform the job duties in
question.
A) responsibility
B) effort
C) skill
D) productivity
23) For the purposes of the Equal Pay Act, refers to the physical or mental exertion
needed for performance of the job.
A) acumen
B) effort
C) skill
D) responsibility
24) The Equal Pay Act of 1963 was enacted to prevent wage discrimination based on .
A) sex within a business establishment
B) race within a business establishment
C) race and ethnicity within a business establishment
D) age and ethnicity within a business establishment
25) Which of the following is an incorrect statement regarding the Equal Pay Act of 1963?
A) The courts have interpreted “equal” to mean exactly the same in terms of skill, effort,
responsibility, and political acumen.
B) If jobs are equal in skill and working conditions but one requires greater effort whereas the
other requires greater responsibility, the jobs are not equal.
C) The “similar working conditions” factor refers to safety hazards, physical surroundings, and
hours of employment.
D) An employer is entitled to pay a shift premium to employees working different shifts, as long
as the employer does not use sex as a basis for determining who is entitled to work the higher-
paying shifts.
26) Which of the following statutory exceptions found in the Bennett Amendment to the Equal
Pay Act of 1963 presents the greatest problems?
A) wage differential based on a bona fide seniority system
B) wage differential based on factors other than sex
C) wage differential based on a pay system based on quality or quantity of output
D) wage differential based on a bona fide merit system
27) The Equal Pay Act of 1963 was an amendment to the Fair Labor Standards Act.
28) The Equal Pay Act of 1963 was primarily designed to remedy the situations in which
women, working alongside men or replacing men, were being paid lower wages for doing
substantially the same job.
29) Skill refers to physical or mental exertion needed for performance of the job.
30) If a wage differential is based on a bona fide seniority system, the differential is justified, and
the employer is not in violation of the Bennett Amendment to the Equal Pay Act.
31) Circumstances such as greater availability of females and their willingness to work for lower
wages do not constitute factors other than sex.
32) An employer found to have violated the Equal Pay Act of 1963 can remedy the violation by
reducing the higher-paid workers’ wages.
33) Horizon Securities, a finance firm based in the United States, hired Charles and Katherine as
front desk receptionists. Six months into the job, Charles received a raise, whereas Katherine did
not. Katherine’s employers justified the pay inequity on the grounds that Charles was given extra
duties that justified the extra pay. What will Katherine’s employers have to prove in court in
order to avoid violating Katherine’s right to equal pay?
34) Which of the following statutes of the Civil Rights Act of 1964 is the most common basis for
lawsuits premised on employment discrimination?
A) Title V
B) Title VI
C) Title VII
D) Title VIII
35) of the Civil Rights Act of 1964 prohibits discrimination in hiring, firing, or other
terms and conditions of employment on the basis of race, color, religion, sex, or national origin.
A) Title V
B) Title VI
C) Title VII
D) Title VIII
36) Which of the following is a category under the protected classes?
A) age
B) color
C) education
D) place of residence
37) Which of the following is true of the Civil Rights Act of 1964?
A) Employers covered by Title VII of the act should not engage in a business that affects
interstate commerce.
B) The act does not impose recordkeeping and reporting requirements on covered parties.
C) If an employment discrimination charge is filed against an employer covered by the act, the
employer‘s records regarding employment opportunities must be discarded immediately.
D) The act covers Indian tribes, private clubs, unions, and employment agencies.
38) occurs when one individual is treated less favorably than another because of color,
race, religion, sex, or national origin.
A) Disparate treatment
B) Torment
C) Harassment
D) Disparate impact
39) Proving an employer‘s unlawful discriminatory motive in disparate treatment cases is
referred to as building a case.
A) quid pro quo
B) prima facie
C) pro bono
D) pro forma
40) cases arise when a plaintiff attempts to establish that an employer‘s facially neutral
employment policy or practice has a discriminatory effect on a protected class.
A) Disparate treatment
B) Hostile environment
C) Disparate impact
D) Harassment
41) To establish a case of discrimination based on , the plaintiff must first establish
statistically that the rule disproportionately restricts employment opportunities for a protected
class.
A) disparate treatment
B) disparate impact
C) hostile environment
D) harassment
42) Sally is a waitress at a popular coffee shop. Robert, her boss, has been making inappropriate
sexual advances that make Sally uncomfortable. Recently, Robert threatened to fire Sally if she
continued to refuse his sexual demands. Sally decides to file a sexual harassment case against her
boss. In this scenario, it will be a case.
A) quid pro quo
B) prima facie
C) pro bono
D) pro forma
43) Which of the following represents a valid bona fide occupational qualification (BFOQ)?
A) The management hires employees based on their race and color.
B) The customers would prefer a woman in the position.
C) The management stated that it is inconvenient to add a men’s room.
D) The applicant should speak fluent English to apply for a job in the United States.
44) Under the Uniform Guidelines on Employee Selection Procedures (UGESP), ability tests
must be validated in accordance with standards established by the _.
A) American Professional Society
B) United States Psychiatric Association
C) American Psychological Association
D) United States Entrepreneurial Association
45) A test that requires a computer programmer to write codes in two different programming
languages is .
A) content valid
B) commercially valid
C) construct valid
D) criterion-related valid
46) A test of achievement orientation for a sales person is valid.
A) content
B) construct
C) commercially
D) criterion-related
47) A bona fide seniority system is considered unlawful if the .
A) system is maintained free of any illegal discriminatory purpose
B) seniority system has its genesis in discrimination
C) seniority units follow industry practices
D) system applies equally to all persons
48) Which of the following statutory defenses involves giving employees preferential treatment
based on their length of service?
A) bona fide occupational qualification
B) merit claim
C) bona fide seniority system
D) mixed motives case
49) Aariz is a member of a minority community in the United States. He has been living in the
United States for five years and holds a U.S. citizenship. Recently, Aariz was refused a job at an
auto dealership. However, they hired less-qualified American men for the job. In this scenario,
Aariz can file a case of discrimination based on .
A) national origin
B) religion
C) sex
D) educational qualification
50) Theological corporations, associations, and societies are allowed to discriminate in their
employment practices on the basis of .
A) sex
B) religion
C) race
D) national origin
51) Which of the following is true of the Pregnancy Discrimination Act (PDA)?
A) It specifies that discrimination based on pregnancy is a discrimination based on disability.
B) It says that abortions for all purposes, including saving the mother‘s life, should be excluded
from the company’s medical benefits.
C) It says that pregnancy must be treated as a gender issue.
D) It specifies that discrimination based on pregnancy is sex discrimination.
52) With regard to Title VII enforcement, which of the following is true of a charge?
A) If initially filed with a local agency, the charge must be filed with the federal Equal
Employment Opportunity Commission within 300 days of the discriminatory act.
B) It is a sworn statement that set out the name of the defendant but not the charging party.
C) In states that do not have Equal Employment Opportunity Commission agencies, the charge
must be filed with the federal Equal Employment Opportunity Commission within 90 days of the
discriminatory act.
D) It is the second step in initiation of an action under Title VII.
53) Once the Equal Employment Opportunity Commission receives a charge, it must notify the
alleged violator of the charge within days.
A) 15
B) 10
C) 25
D) 60
54) What will be the Equal Employment Opportunity Commission agency’s initial action if it
finds a reasonable cause to believe that a discriminatory practice has occurred?
A) It will issue a warning to the violator.
B) It will file a suit against the alleged discriminator in federal district court.
C) It will fine the violator an amount determined by statute.
D) It will attempt to eliminate the discriminatory practice through conciliation.
55) With regard to pay discrimination, which of the following laws restored the policy that each
paycheck gives rise to a new cause of action?
A) The Rehabilitation Act of 1973
B) The Equal Pay Act of 1963
C) The Lilly Ledbetter Fair Pay Act of 2009
D) The Age Discrimination in Employment Act of 1967
56) Title VII of the Civil Rights Act of 1964 prohibits employers from hiring, firing, or
otherwise discriminating in terms and conditions of employment.
57) Title VII of the Civil Rights Act of 1964 prohibits employers from segregating employees in
a manner that would affect their employment opportunities on the basis of their race, color,
religion, sex, or national origin.
58) The five protected classes under Title VII of the Civil Rights Act of 1964 are race, color,
religion, sexual orientation, and personal appearance.