Chapter 34
Employment, Immigration,
and Labor Law
N.B.: TYPE indicates that a question is new, modified, or unchanged, as follows.
N A question new to this edition of the Test Bank.
+ A question modified from the previous edition of the Test Bank.
= A question included in the previous edition of the Test Bank.
TRUE/FALSE QUESTIONS
A1. Generally, under employment-at-will doctrine, an employer may fire an employee at
any time for any reason.
A2. Courts in a few states have held that all employment contracts an implied covenant of
good faith.
A3. Whistleblowing occurs when an employer signals the end of a work day by sounding a
buzzer, ringing a bell, or otherwise “blowing the whistle “
A4. Any employee who works more than eight hours per day must be paid overtime .
416 TEST BANK A—UNIT SEVEN: AGENCY AND EMPLOYMENT
A5. Children under fourteen years of age are not allowed to work.
A6. A large business must provide notice before implementing a mass layoff.
A7. Certain employers must provide their employees with up to twelve weeks of paid
family or medical leave during any twelve-month period.
A8. A violation of federal family and medical leave requirements may result in liability for
an employer but not personal liability for a supervisor.
A9. There is no general duty on employers to keep workplaces safe.
A10. Only employees contribute under federal law to help pay for benefits that will
partially make up for their loss of income on retirement.
A11. To be eligible for unemployment compensation, a worker must be willing and able to
work.
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A12. For works whose jobs have been terminated, federal law provides no right to
continued health-care coverage.
A13. Normally, if employees are informed that their communications are being monitored,
they cannot expect those communications to be private.
A14. Employers can require or cause employees, but not job applicants, to take lie-detector
tests.
A15. An employer must verify a prospective worker’s identity and eligibility for
employment in the United States and abroad.
A16. An employer who violates the law by hiring an unauthorized alien is subject only to
the penalty of a forced discharge of the employee.
A17. Employers and unions have a duty to bargain in good faith.
A18. During a union election campaign, employers can undertake certain types of
surveillance to identify union supporters.
418 TEST BANK A—UNIT SEVEN: AGENCY AND EMPLOYMENT
A19. Requiring union membership as a condition of continued employment is illegal in
many states.
A20. Workers have a right to refuse to cross a picket line of fellow workers who are
engaged in a lawful strike.
MULTIPLE CHOICE QUESTIONS
A1. Myron is an employee of Nero. Either party can terminate the employment
relationship at any time for any reason without liability. With respect to the
employment-at-will doctrine, this is
a. an example of the doctrine.
b. an exception based on contract theory.
c. an exception based on public policy.
d. an exception based on tort theory.
A2. Richard is an employee of Stealth Security Company. Stealth discharges Richard for
refusing to infiltrate a competitor’s organization to learn its trade secrets. With
respect to the employment-at-will doctrine, this is
a. an example of the doctrine.
b. an exception based on contract theory.
c. an exception based on public policy.
d. an exception based on tort theory.
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A3. Emma, Frick, Glenda, and Huey are employees of different-sized employers in
different industries. Under the Fair Labor Standards Act, a minimum wage must be
paid to employees in
a. all industries.
b. covered industries only.
c. no industries.
d. small-business industries only.
A4. Jenna is fifteen years old. Under the Fair Labor Standards Act, Jenna cannot work
a. in the entertainment industry.
b. in a hazardous occupation.
c. for her parents.
d. in the delivery of newspapers.
A5. Delicious Fruit-of-the-Month Company currently employs five hundred full-time
workers and two hundred part-time seasonal workers. Because business has declined,
Delicious plans to close a plant that employs more than fifty full-time workers.
Advance notice of the layoff must be sent to
a. affected workers or their union representative.
b. all workers, even those who are not being laid off.
c. potential customers and suppliers.
d. no one.
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A6. Kato takes temporary family leave from his job at Lube & Oil Company to care for a
new baby. During the leave, under the Family and Medical Leave Act, Lube & Oil must
a. continue the employee’s health-care coverage.
b. suspend the employee’s health–care coverage.
c. terminate the employee’s health–care coverage.
d. do nothing.
A7. Miley takes temporary medical leave from her job at Lumber Mill Inc. to care for a
parent with a serious health condition. When she attempts to return to work, Lumber
Mill refuses to reinstate her. Under the Family and Medical Leave Act, Miley may
obtain
a. an award of key employee status but no injunctive or economic relief.
b. a cease-and-desist order or other injunction but no economic award.
c. double damages, job reinstatement, a promotion, and more.
d. nothing.
A8. Chuck works for Deepwater Drilling Corporation. While operating a Deepwater drill,
Chuck suffers an injury. Under state workers’ compensation laws, Chuck will be
compensated only if
a. he does not have health insurance.
b. he is completely disabled.
c. his injury was accidental.
d. his injury was intentional.
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A9. Ewa is a current employee of Financial Accounting, Inc. Gomer, a former Financial
employee who is currently unemployed, collects unemployment compensation. This is
provided by a tax on
a. Ewa and Gomer only.
b. Ewa, Financial, and Gomer.
c. Financial only.
d. none of these parties.
A10. Machine Operations, Inc. (MO), employs four hundred workers at three locations in
three states. Workers who lose their jobs with MO have a right to continued health–
care coverage under MO’s group plan unless they
a. are fired for gross misconduct.
b. are laid off for budgetary reasons.
c. have their hours decreased from full-time to part-time.
d. quit their jobs voluntarily.
A11. Interstate Distribution, Inc. (IDI), provides its employees with an e-mail system. IDI
notifies them that it will monitor their communications over the system. Some
employees file a suit against IDI, claiming a violation of privacy. The court is most likely
to hold that, with respect to communications over the e-mail system,
a. the employees did not have a reasonable expectation of privacy.
b. the employer violated the employees’ privacy rights.
c. federal law prohibits the employer’s “intentional interception.”
d. federal law prohibits the employees’ privacy claim.
422 TEST BANK A—UNIT SEVEN: AGENCY AND EMPLOYMENT
A12. First National Bank may subject its employees to lie-detector tests when investigating
a. health and medical conditions.
b. losses attributable to theft.
c. prior work history.
d. suspected drug use.
A13. Hu, Ivan, and Juana apply to work for King Meatpacking Company. These individuals’
identities and eligibility to work must be verified by
a. the employer.
b. the individuals.
c. the individuals’ countries of origin.
d. the U.S. Citizenship and Immigration Services.
A14. Southwestern Foods Corporation operates a packaging plant near the border between
the United States and Mexico. Due to the location, it would be easier for
Southwestern to employ noncitizens. It is legal for a U.S. employer to
a. hire persons not authorized to work in the United States.
b. recruit persons not authorized to work in the United States.
c. refer for a fee persons not authorized to work in the United States.
d. none of the choices.
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A15. Detailed Designs Company, an architectural firm, wants to hire Eduardo, a noncitizen.
A temporary work visa is most likely to be set aside for a noncitizen who is
a. a “person of ethnic similarity to the employer’s workforce.”
b. a “person of extraordinary ability.”
c. a “person of ordinary ability and ambition.”
d. a “person with an extraordinary work ethic.”
A16. Fedro is an employee of Earth & Sea Mining Company. Under federal law, Fedro and
other employees have the right to
a. bargain collectively with Earth & Sea through their representative.
b. insist that Earth & Sea require union membership to work.
c. require Earth & Sea to contribute financially to their union.
d. refuse to bargain with Earth & Sea through their representative.
A17. Residential Construction Company agrees with its employees’ union not to buy any
nonunion-produced goods from other firms for use on Residential Construction job
sites. This is
a. a permissible secondary boycott.
b. a prohibited secondary boycott.
c. a technically legal secondary boycott.
d. a unilateral one-party boycott.
424 TEST BANK A—UNIT SEVEN: AGENCY AND EMPLOYMENT
A18. During a union election campaign, Autowerks Repair, Inc., prohibits on-site, work-hour
solicitations by any party, including Mechanics Union, which is seeking the workers’
unionization. This violates
a. federal labor law.
b. federal election law.
c. federal solicitation law.
d. no federal law.
A19. Clerical Workers Union represents the employees of Miracle Medical Research
Company. The management of the firm refuses to bargain with the union over the
hiring of unnecessary workers. This most likely violates
a. federal labor law.
b. state right-to-work laws.
c. federal wage-and-hour laws.
d. no federal or state law.
A20. Boz, a clerk for a Cheezy Burger, Inc., restaurant goes out on strike with the other
employees. After the strike, Boz must be given his job back if there is still work at the
restaurant and the strike was
a. a lawful economic strike.
b. an “excuse” for a few days off.
c. an unjustified strike.
d. an unlawful “practice” strike.
ESSAY QUESTIONS
A1. Borealis Power Company is subject to mandatory workers’ compensation laws in the
states in which it does business. Chad and Dex work for Borealis as part of a crew that
travels to remote locations to repair downed power lines and other damaged
equipment. At a distant site, Chad is injured in an accident that is entirely Dex’s fault.
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Chad files a claim for workers’ compensation. Should the claim be granted? What
would be Borealis’s best defense against it?
A2. Healthy Harvest Company runs a candy and fruit processing and packaging plant. Most
of Healthy Harvest’s business is done during holiday seasons, especially between
Halloween and New Year’s Day, and in the spring. The company hires a large
temporary workforce during its busiest times. Occasionally, a position opens for an
individual with highly specialized skills, particularly to operate and maintain the
company’s inventory and sales control systems. Can Healthy Harvest hire noncitizens
for its temporary, seasonal work? Can the company hire a noncitizen with special skills
for certain jobs? If so, what procedures must the employer follow in both situations to
do this hiring? If not, how can Healthy Harvest be assured that it is hiring only
citizens?
426 TEST BANK A—UNIT SEVEN: AGENCY AND EMPLOYMENT