HR Expertise: Workplace

Question 1

Third-Country Nationals

Answer 1

individuals who work for a firm, but are not a citizen of neither the company’s home country nor the host country

Question 2

Local nationals/first-/host-country nationals

Answer 2

employees who are hired for a job in their own country, when the company is based in another country.

Question 3

Four methods for calculating global compensation adjustments for international assignments

Answer 3

1. Home-country-based approach – based on the employee’s standard of living in his or her home country
2. Host-country-based approach – based upon local national rates
3. Headquarters-based approach – based upon the home country of the organization
4. Balance sheet approach - calculates compensation based on home country rates, with all allowances, deductions, and reimbursements before converting into the host country’s currency

Question 4

Disparate impact

Answer 4

describes more unintentional discrimination. It’s the type of discrimination in which an employer institutes a policy that appears to be reasonable but prevents individuals of a certain color, disability, military status, nationality, race, religion, or sex from receiving employment or any of the benefits associated with employment (such as promotions or pay).

E.g. preemployment tests have been proven to discriminate against certain protected classes, although they may not appear as such.

Question 5

4/5 rule

Answer 5

a selection rate for any race, sex, or ethnic group which is less than 4/5 or 80% of the rate for the group with the highest rate will generally be regarded by the federal enforcement agencies as evidence of adverse impact.

Question 6

Four types of risk

Answer 6

 Hazard risk – involves potential liability or loss of property and is generally mitigated by insurance. Examples: workplace accidents, fires, and natural disasters.

 Financial risk – involves potential negative impacts to a firm’s cash flow. Example: major customer not paying invoices on time.

 Operational risk – involves the impact to a firm’s ability to function effectively. Examples: technology failures, process breakdowns, and human error.

 Strategic risk – involves a firm’s plans becoming outdated due to shifts in the economy, politics, customer demographics, or the overall competitive landscape.

Question 7

Single loss expectancy

Answer 7

Measured when a value is placed on each asset, and the percentage of loss is determined for each acknowledged threat.

Question 8

Annualized loss expectancy

Answer 8

Can be calculated by multiplying the single loss occurrence and the annualized rate of occurrence.

Question 9

Four main challenges to mental health

Answer 9

• Burnout
• Anxiety
• Depression
• Boredom

Question 10

Three phases of responding to environmental stressors

Answer 10

 Alarm reaction – the adrenaline rush in which the endocrine system triggers the body into fight-or-flight mode

 Resistance stage – in which the body tries to regain balance

 Exhaustion phase – at which point the body has endured severe weakening and can no longer adapt.

Question 11

5 steps included in total quality management programs

Answer 11

1. Performance planning – identifying goals and desired behaviors
2. Customer-centric products and services – setting and communicating performance standards
3. Statistical control methods for measuring results and providing feedback
4. Implementing performance improvement strategies
5. Evaluating results and benchmarking

Question 12

FLSA of 1938 (aka the Wagner-Connery Wages and Hours Act, or the Wage Hour Bill)

Answer 12

Sets minimum wage standards, overtime pay standards, and child labor restrictions.

Separates employees as exempt or nonexempt

Question 13

Lilly Ledbetter Fair Pay Act of 2009

Answer 13

Designed to make employers more proactive in resolving pay inequities.

Overturned the 2007 SCOTUS decision which ruled that the statute of limitations to make a discriminatory pay claim was 180 days from the first discriminatory paycheck. Instead, the 180 statute restarts with each discriminatory paycheck.

Question 14

ERISA

Answer 14

Passed in 1974 to protect employees who are covered under private pensions and employee welfare benefit plans.

Ensures that employees receive promised benefits and are protected against early termination, mismanaged funds, or fraudulent activities.

Question 15

Federal Wage Garnishment Law of 1968

Answer 15

Imposes limitations on the amount of disposable earnings that may be withheld from an employee’s income in a given pay period to satisfy a wage garnishment order for failure to pay a debt.

The law restricts the amount that can be withheld to 25% of an employee’s disposable weekly earnings or an amount that is 30x the FLSA minimum wage, whichever is less.

Question 16

NLRA

Answer 16

Passed in 1935. Intended to be an economic stabilizer and establish collective bargaining in industrial relations. Provides employees with the right to form, join, or assist labor organizations.

Question 17

Taft-Hartley Act

Answer 17

Passed in 1947 to help avoid unnecessary strikes and impose certain restrictions over union activities.

Question 18

Four basic issues addressed in the Taft-Hartley Act

Answer 18

o Unfair labor practices by unions

o The rights of employees

o The rights of employers

o National emergency strikes

Question 19

Restrictions placed on unions in the Taft-Hartley Act (5)

Answer 19

o Restraining or coercing employees from their right to not engage in union activities

o Forcing an employer to discriminate in any way against an employee to encourage or discourage union membership

o Forcing an employer to pay for work or services that are not needed or not performed

o Conducting certain types of strikes or boycotts

o Charging excessive initiation fees or membership dues when employees are required to join a union shop

Question 20

Landrum-Griffin Act (Labor Management Reporting and Disclosure Act)

Answer 20

Regulates the internal conduct of labor unions to reduce the likelihood of fraud and improper actions.

Question 21

5 major areas of control outlined by the Landrum-Griffin Act

Answer 21

o Reports to the secretary of labor

o A bill of rights for union members

o Union trusteeships

o Conduct of union elections

o Financial safeguards

Question 22

4 key provisions of the Landrum-Griffin Act

Answer 22

o Granting equal rights to every union member with regard to nominations, attending meetings, and voting

o Requiring unions to submit and make available to the public a copy of its constitution, bylaws, and annual financial reports

o Requiring unions to hold regular elections every five years for national and every three years for local organizations

o Monitoring the management and investment of union funds, making embezzlement a federal crime

Question 23

Lechmere, Inc. vs. NLRB (1992)

Answer 23

This case determined that nonemployee union organizers may solicit employees on private company property if no other reasonable alternative to contact employee exists. This preserves the employees’ right to organize.

Question 24

EEOC

Answer 24

Created to enforce Title VII and the ADA. Primary responsibility of the EEOC is to prevent discrimination based on race, color, religion, sex, origin, disability or age.

Question 25

Five steps the EEOC follows when handling discrimination cases

Answer 25

o A charge filed within 180 days

o An attempt at a no-fault settlement

o An EEOC investigation

o An attempt to resolve through conciliation

o Recommendation for or against litigation

Question 26

Griggs vs. Duke Power Co. (1971)

Answer 26

Determined that employers must be able to demonstrate that position requirements are actually linked to being able to perform the work.

It also determined that employers may be charged with discrimination, even if they did not intend to discriminate (disparate impact).

Question 27

Phillips v. Martin Marietta Corp. (1971)

Answer 27

Ruled that a company cannot refuse to employ women with young children if they employ men with young children unless there is a legitimate business necessity.