Employment Law for Human Resource
Practice, 7th Edition David J. Walsh TEST
BANK
**1. Employment laws are passed only by state and federal
governments, not by cities or counties.**
a. True
b. False
**Answer:** b. False
**Rationale:** Employment laws originate from various sources
including federal statutes, state statutes, and local ordinances (city or
county laws). It is incorrect to state they are only passed by state and
federal governments.
**2. There are more firms with 0–4 employees than any other size
firms.**
a. True
b. False
**Answer:** a. True
**Rationale:** Small businesses dominate the U.S. economic
landscape. Statistical data consistently shows that firms with 0–4
employees constitute the largest segment of employers.
,**3. Punitive damages are not available in employment discrimination
cases.**
a. True
b. False
**Answer:** b. False
**Rationale:** Under specific federal laws (such as Title VII of the Civil
Rights Act of 1964 as amended by the Civil Rights Act of 1991), plaintiffs
may recover punitive damages if they can prove the employer acted
with malice or reckless indifference to their federally protected rights.
**4. Under U.S. employment laws, all employees have the right to:**
a. Not be fired, as long as they do a good job
b. Be treated fairly in all aspects of the workplace, including receiving
fair compensation
c. Have paid vacation after 1 year of employment
d. Expect their employers to comply with employment laws
**Answer:** d. Expect their employers to comply with employment
laws
**Rationale:** While "fairness" is subjective and not universally
guaranteed by statute, the fundamental right of employees is that their
employers must adhere to the existing legal standards (e.g., minimum
wage, anti-discrimination laws). The other options are not guaranteed
rights under general U.S. employment law.
**5. Identify the item that is NOT a source of employment law:**
,a. Federal law
b. State law
c. Ads for job openings
d. Constitutions
**Answer:** c. Ads for job openings
**Rationale:** Job advertisements are governed by employment law
(e.g., prohibiting discriminatory ads) but are not themselves a source of
law. Sources of law include Constitutions, Statutes (federal/state),
Administrative Regulations, and Common Law.
**6. Which of the following is generally true regarding the process of
enforcing employment laws?**
a. Courts and government agencies hear cases only after employees
come forward with complaints about violations of the law
b. Employees are very likely to seize the opportunity to sue their
employers, because all of the cost of employment litigation is borne by
the employer
c. Once a claim is brought, a company’s attorneys deal with it, and
managers have little involvement in the case
d. Employment laws apply only to full time employees
**Answer:** a. Courts and government agencies hear cases only after
employees come forward with complaints about violations of the law
**Rationale:** The enforcement system is generally reactive rather
than proactive. Agencies like the EEOC typically do not audit workplaces
, randomly; they investigate in response to a charge filed by an
employee.
**7. Regarding employment law in the U.S., which of the following
statements is true?**
a. Most federal employment laws were passed in the first half of the
19th century
b. The earliest employment laws focused on wages and hours
c. Employees may be fired at any time for any reason not prohibited by
law
d. Collective bargaining agreements typically go well beyond the
minimum requirements of the law
**Answer:** c. Employees may be fired at any time for any reason not
prohibited by law
**Rationale:** This describes the "employment-at-will" doctrine.
Unless an employment contract exists or a specific law prohibits the
reason for firing (e.g., discrimination), the default rule allows
termination for any reason.
**8. In Nino v. The Jewelry Exchange, the court ruled the arbitration
agreement was unenforceable because:**
a. The employee did not sign the agreement voluntarily.
b. It gave the employee only 5 days to make a demand for arbitration.
c. The employer refused to pay for the arbitration costs.
d. The agreement allowed the employer to choose the arbitrator.
Practice, 7th Edition David J. Walsh TEST
BANK
**1. Employment laws are passed only by state and federal
governments, not by cities or counties.**
a. True
b. False
**Answer:** b. False
**Rationale:** Employment laws originate from various sources
including federal statutes, state statutes, and local ordinances (city or
county laws). It is incorrect to state they are only passed by state and
federal governments.
**2. There are more firms with 0–4 employees than any other size
firms.**
a. True
b. False
**Answer:** a. True
**Rationale:** Small businesses dominate the U.S. economic
landscape. Statistical data consistently shows that firms with 0–4
employees constitute the largest segment of employers.
,**3. Punitive damages are not available in employment discrimination
cases.**
a. True
b. False
**Answer:** b. False
**Rationale:** Under specific federal laws (such as Title VII of the Civil
Rights Act of 1964 as amended by the Civil Rights Act of 1991), plaintiffs
may recover punitive damages if they can prove the employer acted
with malice or reckless indifference to their federally protected rights.
**4. Under U.S. employment laws, all employees have the right to:**
a. Not be fired, as long as they do a good job
b. Be treated fairly in all aspects of the workplace, including receiving
fair compensation
c. Have paid vacation after 1 year of employment
d. Expect their employers to comply with employment laws
**Answer:** d. Expect their employers to comply with employment
laws
**Rationale:** While "fairness" is subjective and not universally
guaranteed by statute, the fundamental right of employees is that their
employers must adhere to the existing legal standards (e.g., minimum
wage, anti-discrimination laws). The other options are not guaranteed
rights under general U.S. employment law.
**5. Identify the item that is NOT a source of employment law:**
,a. Federal law
b. State law
c. Ads for job openings
d. Constitutions
**Answer:** c. Ads for job openings
**Rationale:** Job advertisements are governed by employment law
(e.g., prohibiting discriminatory ads) but are not themselves a source of
law. Sources of law include Constitutions, Statutes (federal/state),
Administrative Regulations, and Common Law.
**6. Which of the following is generally true regarding the process of
enforcing employment laws?**
a. Courts and government agencies hear cases only after employees
come forward with complaints about violations of the law
b. Employees are very likely to seize the opportunity to sue their
employers, because all of the cost of employment litigation is borne by
the employer
c. Once a claim is brought, a company’s attorneys deal with it, and
managers have little involvement in the case
d. Employment laws apply only to full time employees
**Answer:** a. Courts and government agencies hear cases only after
employees come forward with complaints about violations of the law
**Rationale:** The enforcement system is generally reactive rather
than proactive. Agencies like the EEOC typically do not audit workplaces
, randomly; they investigate in response to a charge filed by an
employee.
**7. Regarding employment law in the U.S., which of the following
statements is true?**
a. Most federal employment laws were passed in the first half of the
19th century
b. The earliest employment laws focused on wages and hours
c. Employees may be fired at any time for any reason not prohibited by
law
d. Collective bargaining agreements typically go well beyond the
minimum requirements of the law
**Answer:** c. Employees may be fired at any time for any reason not
prohibited by law
**Rationale:** This describes the "employment-at-will" doctrine.
Unless an employment contract exists or a specific law prohibits the
reason for firing (e.g., discrimination), the default rule allows
termination for any reason.
**8. In Nino v. The Jewelry Exchange, the court ruled the arbitration
agreement was unenforceable because:**
a. The employee did not sign the agreement voluntarily.
b. It gave the employee only 5 days to make a demand for arbitration.
c. The employer refused to pay for the arbitration costs.
d. The agreement allowed the employer to choose the arbitrator.
