Business Law, 8e (Cheeseman)
Chapter 32 Labor Law and Collective Bargaining
1) Labor unions have the right to engage in picketing in support of their positions.
2) Labor unions use the approach of individual bargain with employers to obtain better working
conditions.
3) The NLRB is an administrative body that oversees and prevents union members from
engaging in illegal labor practices.
4) Only skilled craft workers such as silversmiths and artisans were allowed to belong to the
American Federation of Labor.
5) Unskilled and semi-skilled workers did not qualify as members of the CIO.
6) Individual unions are not allowed to join AFL-CIO; the members need to be individual
employees.
7) The Norris-LaGuardia Act is a federal statute which stipulates that it is legal for employees to
organize.
8) The NLRA establishes the right of employers to terminate the employment of members of
unions whose continued picketing hinders the progress of the business.
9) The Taft-Hartley Act gives the president of the United States the right to seek an injunction
against a strike that would create a national emergency.
10) Labor Management Reporting and Disclosure Act enacted in 1950 gives employers the right
to engage in free-speech efforts against unions prior to a union election.
11) The NLRB oversees union elections, prevents employers and unions from engaging in illegal
and unfair labor practices.
12) Section 7 of the NLRA is a federal law that gives employers the right to terminate union
practices detrimental to the organization.
13) A group of employees that a union is seeking to represent in known as an appropriate
bargaining unit.
14) An appropriate bargaining unit must consist of employees from a single company.
15) Managers and professional employees cannot belong to unions formed by employees whom
they manage.
16) Most union elections are contested by the employer.
17) The NLRB is required to supervise all consent elections.
18) A decertification election is held when an employer does not want the presence of multiple
unions in the organization.
19) An employer is permitted to bar off-duty employees from union solicitation on company
premises.
20) The inaccessibility exception is a rule that permits employees and union officials to engage
in union solicitation on company property if the employees are beyond reach of reasonable union
efforts to communicate with them.
21) Section 8(a) of the NLRA makes it an unfair labor practice for an employer to interfere with,
coerce, or restrain employees from exercising their statutory right to form and join unions.
22) An employer threatening to close an organization because employees of an organization
formed a union is considered an unfair labor practice.
23) The act of negotiating contract terms between an employer and the members of a union is
known as mediation.
24) Wages, hours, and other terms and conditions of employment are permissive subjects of
collective bargaining.
25) Under a closed shop agreement, an employer agrees to hire only employees who are already
members of a union.
26) Closed shop security agreements are illegal in the United States.
27) Under an agency shop agreement, an employer may hire anyone whether she belongs to a
union or not.
28) It is legal for a union to begin a strike thirty days after it has informed the employer about the
strike.
29) Sit-down strikes in which the employees occupy the employer’s premises are illegal.
30) An act of an employer to prevent employees from entering the work premises when the
employer reasonably anticipates a strike is known as an employee lockout.
31) Employees who choose not to return to work after joining the strikers are known as crossover
workers.
32) Secondary boycott picketing is not lawful if it is against the primary employer’s product.
33) Picketing that prevents customers from entering the employer’s place of business is illegal.
34) The WARN is a federal act that requires employers with one hundred or more employees to
give their employees sixty days’ notice before engaging in certain plant closings or layoffs.
35) A union is allowed to discipline members for working for wages below union scale.
36) The ________ was a labor union formed in 1886 that only allowed craft workers such as
silversmiths and artisans to be its members.
A) Congress of Industrial Organizations
B) American Federation of Labor
C) National Labor Relations Board
D) International Labor Organization
37) Only ________ were allowed to belong to the American Federation of Labor.
A) skilled craft workers
B) unskilled workers
C) literate workers
D) illiterate workers
38) In 1935, John L. Lewis formed the ________, which permitted semiskilled and unskilled
workers to be its members.
A) International Labor Organization
B) Congress of Industrial Organizations
C) National Labor Relations Board
D) American Federation of Labor
39) Enacted in 1932, the ________ is a federal statute which stipulates that it is legal for
employees to organize.
A) National Labor Relations Act
B) Labor Management Relations Act
C) Taft-Hartley Act
D) Norris-LaGuardia Act
40) Which of the following is provided by the National Labor Relations Act of 1935?
A) to regulate internal affairs of each union
B) to represent employees according to their sectors of employment
C) to bargain collectively with employers
D) to equally represent every union member
41) The Labor Management Relations Act of 1947 is also known as the ________ Act.
A) Landrum-Griffin
B) Gompers-Lewis
C) Taft-Hartley
D) Wagner
42) Which of the following is true of the Taft-Hartley Act?
A) It establishes the right of employees to bargain collectively with employers.
B) It gives employers the right to engage in free-speech efforts against unions.
C) It provides for the equal representation of skilled and unskilled workforce.
D) It gives the president of the United States the right to seek an injunction against a strike.
43) Which of the following acts regulates internal union affairs and establishes the rights of
union members?
A) Landrum-Griffin Act
B) Gompers-Lewis Act
C) Taft-Hartley Act
D) Wagner Act
44) Which of the following federal statutes that regulate labor-management relationships cover
airline carriers?
A) Norris-LaGuardia Act
B) National Labor Relations Act
C) Railway Labor Act
D) Landrum-Griffin Act
45) The ________ oversees union elections, prevents employers and unions from engaging in
illegal and unfair labor practices, and enforces and interprets certain federal labor laws.
A) NLRA
B) NLRB
C) AFL
D) CIO
46) A group of employees that a union is seeking to represent is known as a(n) ________.
A) combined conciliation unit
B) appropriate mediation unit
C) collective negotiation unit
D) appropriate bargaining unit
47) Which of the following gives employees the right to join together to form a union?
A) The Wagner Act
B) Section 3 of the Landrum-Griffin Act
C) Section 7 of the NLRA
D) Section 1 of the Taft-Hartley Act
48) Most union elections are contested by the employer. The ________ is required to supervise
all contested elections where a simple majority vote wins the election.
A) Congress of Industrial Organizations
B) American Federation of Labor
C) National Labor Relations Board
D) Election Assistance Commission
49) A(n) ________ election can be held without NLRB supervision.
A) employer-contested
B) consent
C) decertification
D) management-contested
50) If employees no longer want to be represented by a union, a ________ election is held.
A) employer-contested
B) consent
C) decertification
D) management-contested
51) A certain organization’s employees want a union to represent their rights, a request that has
been approved by the employer. All the employees live in the employees’ quarters in the building
adjacent to the place of work. In order for a union to be established, solicitation must be carried
out by these employees. Which of the following is true of this situation?
A) Union solicitation must be carried out only during work hours.
B) Union solicitation must be carried out only at work premises, under the employer’s
supervision.
C) Union solicitation cannot be carried out by the managerial department of the corporation.
D) Union solicitation activities are prohibited during employees’ personal time.
52) Which of the following is a provision of Section 8(a) of the NLRA?
A) prohibits unions from engaging in unfair labor practices that interfere with a union election
B) makes it an unfair labor practice for an employer to restrain employees from forming and
joining unions
C) enables employees to opt out of unions by organizing a decertification election
D) permits employees and union officials to engage in union solicitation on company property
53) ________ prohibits unions from engaging in unfair labor practices that interfere with a union
election.
A) The Wagner Act
B) Section 7 of the NLRA
C) Section 8(a) of the NLRA
D) Section 8(b) of the NLRA
54) The act of negotiating contract terms between an employer and the members of a union is
known as ________.
A) mediation
B) arbitration
C) collective bargaining
D) litigation
55) Which of the following is a compulsory subject during collective bargaining?
A) health benefits
B) discrimination
C) corporate reorganization
D) location of workplace
56) Subjects that are not compulsory or illegal are known as ________ subjects of collective
bargaining, which maybe be bargained for if the company and union agree to do so.
A) secondary
B) alternative
C) permissive
D) conditional
57) Under a(n) ________ agreement, an employer agrees to hire only employees who are already
members of a union.
A) union shop
B) agency shop
C) confirmed shop
D) closed shop
58) Which of the following is true of a union shop agreement while hiring an employee?
A) The employee must join the union within a certain time after employment.
B) The employee does not join the union but pays an agency fee.
C) The employee must be a skilled worker represented by more than one union.
D) The employee must be represented by more than one union.
59) Which of the following is true of union security agreements?
A) Under a closed shop agreement, an employer hires workers who are not part of any union.
B) Under an agency shop agreement, an employer only hires workers who agree to not join any
union.
C) An employee hired under a union shop agreement is represented by more than one union.
D) Dues checkoff refers to the deduction of union dues and agency fees from employees’ wages.
60) A ________ is a cessation of work by union members in order to obtain economic benefits or
correct an unfair labor practice.
A) collective bargain
B) strike
C) crossover
D) persuasion
61) Which of the following is an illegal strike?
A) sit-down strike at the employer’s premises
B) absence from work
C) cessation of work
D) employer lockout
62) Which of the following best describes a wild-cat strike?
A) Union members occupy the employer’s premises while striking.
B) Union members strike part of the day or workweek and work the other part.
C) Individual union members go on strike without proper union authorization.
D) The union declares indefinite cessation of work.
63) Employees who choose not to strike or return to work after joining the strikers for a period of
time are known as ________ workers.
A) locked-out
B) wildcat
C) borderline
D) crossover
64) If an employer reasonably anticipates a strike by some of its employees, it may legally
arrange a(n) ________ to prevent these employees from entering the work premise.
A) strike
B) picketing
C) employer lockout
D) employee lockout
65) The laborers at Lillon Fabrics are paid on a daily-wage basis. When the employee union
announces a strike that involves cessation of work, one of the employees Lina is hesitant to
participate in it as it would mean her employer withholding her pay. Which of the following is
true of this case?
A) Lina must participate in the strike as participation in all union activities is mandatory for the
employees.
B) Lina need not participate in the strike.
C) Lina’s employer is obligated to pay her even if she ceases to work and join the strike.
D) Lina must find a replacement employee before joining the strike.
66) Once a strike begins, the employer may continue operations by ________ to take the place of
the striking employees.
A) hiring replacement workers
B) temporarily demoting supervisors
C) acquiring crossover workers
D) acquiring wildcat strikers
67) What legal course of action is available to a corporation if its employees go on strike without
any notice?
A) warn the employees about closing the plant if they strike
B) dissolve the union in the company
C) dismiss the striking employees
D) solicit on behalf of a second union in the company
68) The right to picket is implied from the ________.
A) National Labor Relations Act
B) Norris-LaGuardia Act
C) Labor Management Relations Act
D) Labor Management Reporting and Disclosure Act
69) The action of strikers walking in front of an employer’s premises, carrying signs announcing
their strike is known as ________.
A) occupying
B) picketing
C) employee lockout
D) outcry
70) In which of the following circumstances is picketing unlawful?
A) when picketing obstructs customers from entering the employer’s place of business
B) when picketing is carried out against the struck employer’s product
C) when picketing is carried out against the neutral employer
D) when the employer carries out a “lockout” against the picketers at work premises
71) If union members picketing a restaurant block deliveries from the restaurant, this is
________ picketing.
A) lawful
B) illegal
C) conditional
D) absolute
72) ________ picketing is a type of picketing in which a union tries to bring pressure against an
employer by picketing the employer’s suppliers or customers.
A) Primary boycott
B) Secondary boycott
C) Consumer boycott
D) Group boycott
73) Secondary boycott picketing is lawful only if it is directed at ________.
A) the primary employer’s product
B) the neutral employer
C) customers who purchase the product
D) employees not part of the union
74) The ________ is a federal act that requires employers with one hundred or more employees
to give their employees sixty days’ notice before engaging in certain plant closings or layoffs.
A) Norris-LaGuardia Act
B) Labor Management Relations Act
C) Worker Adjustment and Retraining Notification Act
D) Labor Management Reporting and Disclosure Act
75) List the major federal statutes that regulate the labor-management relationship along with
their respective provisions.
76) Outline the act of collective bargaining.
77) List and explain strikes that are held to be illegal be federal labor law.
78) Distinguish between strikes and picketing. When is picketing lawful?
79) How does the Landrum-Griffin Act regulate internal affairs of unions? Can unions discipline
their members? Elaborate.