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ERISA (the Employee Retirement Income Security Act)contains provisions affecting retirement and welfare plans.

A) True
B) False

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Which of the following is NOT a criteria for employment under the FLSA requiring an intern to be paid for an internship?


A) The intern does not displace regular staff, and works under the close supervision of existing staff.
B) The internship is similar to training that would be given in an educational environment.
C) The intern agreed to work without pay in exchange for the promise of full-time employment at the completion of the internship.
D) The intern is not necessarily entitled to a job upon completion of the internship.

E) All of the above
F) A) and D)

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Corey,who works as a mechanic,falls off a ladder,breaks his arm,and loses consciousness.Upon returning to the company post-treatment,the company transfers him to a different position.Does the company need to make a report under the Occupational Safety and Health Act (OSHA)? If yes,what are the details to be included in the report? Explain.

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Yes,the company needs to make a report u...

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Which of the following best describes a defined benefit pension plan?


A) A plan in which each employee has his or her own account and the benefits are based only on the principal and income contributed
B) A plan that is established to provide health, vacation, or unemployment benefits through contributions solely made by employees
C) A plan where the amount payable to a participant is determined by a formula, the funding of which is determined actuarially
D) A plan in which the security comes from knowing the amount of principal that will be invested

E) A) and C)
F) A) and B)

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Which of the following statements is true about the Fair Labor Standards Act (FLSA) ?


A) The FLSA requires that domestic workers who reside in the employer's home either permanently or for an extended period of time be eligible for overtime pay.
B) The FLSA requires overtime pay in an amount no more than 1-1/2 (one and one-half) times the employee's regular rate of pay.
C) The FLSA sets the number of hours that constitute a "normal work week" for wage purposes.
D) The FLSA prohibits an employer from requiring an employee to work more than 40 hours a week.

E) A) and D)
F) C) and D)

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Faye is a recent law graduate employed as an associate attorney at The Firm,a law firm with close to 200 employees.Faye is paid $98,000 per year.Like most associates,she regularly works 60 or more hours a week.She thinks she should be provided overtime compensation for all of the extra hours of work she puts in per week.Which of the following is most likely to be true in this case?


A) Faye will be eligible for overtime compensation under the Fair Labor Standards Act regulations because she makes less than $100,000.
B) Faye will not be eligible for overtime pay because as a professional, she is exempt from the overtime provisions of the Fair Labor Standards Act.
C) Faye will be eligible for overtime pay under the Fair Labor Standards Act because any firm with more than 150 employees is required to pay all of its employees for overtime.
D) Faye will not be eligible for overtime pay if it can be shown that she pays less than $25,000 toward income tax.

E) A) and C)
F) A) and D)

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An employer will not be held responsible under the Occupational Safety and Health Act (OSHA)for workplace hazards or injuries where the harm is the result of reckless behavior by an employee.

A) True
B) False

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The advocates of the original minimum wage laws were trying to establish a wage that would provide workers with sufficient money on which to live while not causing harm to business owners.

A) True
B) False

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True

Which of the following is true of an employee's right to be paid for time putting on or removing protective gear?


A) Employees must be paid time and a half for the period of time it takes to put on or remove protective gear.
B) Employees generally must be paid for the time that it takes to put on or remove protective gear, although it may be the subject of collective bargaining.
C) Employees are not entitled to be paid for the time that it takes to put on or remove protective gear.
D) Employees must be paid for the time that it takes to put on or remove protective gear, no exceptions.

E) A) and C)
F) A) and B)

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Roger,a cashier at Mason's Mart located in Wyoming,is paid the minimum wage set by the state.The state minimum wage rate is less than the federal minimum wage rate.Which of the following holds true in this case?


A) Mason's has not violated the Fair Labor Standards Act of 1938 because the state wage rate supersedes the federal minimum wage rate.
B) Mason's has violated the Fair Labor Standards Act of 1938 because the federal minimum wage rate supersedes the state wage rate.
C) Mason's has not violated the Fair Labor Standards Act of 1938 because private employers are not covered under the act.
D) Mason's has violated the Fair Labor Standards Act of 1938 only if it can be shown that the employees are not paid any overtime compensation.

E) B) and C)
F) A) and C)

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Under the Employee Retirement Income Security Act (ERISA) ,a fiduciary is required to:


A) exercise the care and judgment that a prudent person would exercise pursuing similar objectives under the same circumstances.
B) invest plan assets in funds that will generate a profit for the plan participants.
C) discharge his or her duties solely in the interest of his or her employer rather than in the interest of the participants in the pension and welfare plans.
D) invest an employee's contributions toward pension and welfare plans in an undiversified portfolio so as to limit the investment risk of the plans.

E) All of the above
F) None of the above

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A defined contribution plan is a retirement plan where:


A) the benefits payable to a participant are based on contributions and earnings on those contributions.
B) the amount an employee receives at retirement is specifically designated at the time the employee enters the plan.
C) contributions made by an employer to the plan are determined actuarially.
D) contributions to the plan generally only come from an employer.

E) A) and B)
F) A) and C)

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Which of the following must an employee prove in order to establish retaliation under the Occupational Safety and Health Act (OSHA) ?


A) The employee must prove that he or she is not an at-will employee of the firm.
B) The employee must prove that he or she did not engage in a protected activity.
C) The employee must prove that he or she is not part of any labor union.
D) The employee must prove that he or she was subjected to an adverse action by the employer.

E) A) and D)
F) A) and B)

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D

Explain the general provisions of the Family and Medical Leave Act (FMLA).

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The Family and Medical Leave Act (FMLA)guarantees employees who have been on the job at least a year up to 12 weeks of unpaid leave per year for a birth; an adoption; or care of sick children,spouses,or parents (or their own serious illness)and the same or an equivalent job upon their return.An FMLA amendment that came later allows an eligible employee to take up to 26 weeks of unpaid leave in a 12-month period to care for a returning war veteran seriously injured in the line of duty.The FMLA applies to employers with 50 or more employees within a 75-mile radius.Employees must have worked for their employer for at least one year and for at least 1,250 hours during the 12 months preceding the time off.They must give the employer at least 30 days' notice when practical.In 2010,the Department of Labor expanded leave rights under the FMLA and extended the right to care for a sick child to an employee who is acting as a parent,even if the employee does not have a legal or biological relationship to the child.Employers may require employees to first use vacation or other leave before applying for the unpaid leave,but employees must be compensated for the vacation days as they normally would.Where both members of the couple work for the same employer,the employer can restrict the couple to a total of 12 weeks' leave per year.Employers must continue to provide employees with health insurance during their leave and may exclude the highest-paid 10 percent of their employees from FMLA coverage.Employers also can require medical confirmation of an illness,which the U.S.Department of Labor defines as requiring at least one night in the hospital.

Which of the following groups of employees are NOT covered by the FLSA?


A) Full-time and part-time employees of a business involved in interstate commerce
B) Federal, state and local government employees
C) Employees of a hospital making less than $500,000
D) Employees of a small business (generating $250,000 per year) producing goods for interstate commerce

E) B) and C)
F) A) and B)

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Which type of workplace injury must be reported to OSHA within eight (8) hours of occurrence?


A) An injury requiring an employee to change jobs
B) A workplace fatality
C) An injury requiring immediate transport to a hospital
D) An injury requiring any sort of medical treatment

E) None of the above
F) All of the above

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If an employer is considering significant changes to a retirement plan,when must those changes (or potential changes) be communicated to employees and/or plan participants


A) Immediately.
B) When the changes are under serious consideration.
C) After the plan changes are approved.
D) There is no obligation to communicate plan changes to employees or participants.

E) None of the above
F) A) and D)

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One category of OSHA violation is a willful violation.Pursuant to OSHA,each of the following constitutes a willful violation except:


A) the employer knows what he or she is doing constitutes a violation
B) there is a violation that the employer should have known about
C) there is a violation that was known to employees but not known to the employer
D) the employer is aware of a hazardous condition, but does not take steps to remedy it

E) C) and D)
F) All of the above

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Manhattan Tools takes all reasonable precautions to guard employees against known hazards in its production facilities.However,Curtis,an employee,found many of the precautions too cumbersome to follow.Curtis is injured when he circumvents these precautions.Which of the following is most likely to be true in this case?


A) Manhattan Tools will be liable for the harm because Curtis avoided the precautionary measures due to a legitimate reason.
B) Manhattan Tools will be liable because OSHA states that employers are insurers of employee safety, even in spite of an employee's disregard for safety precautions.
C) Manhattan Tools will not be liable as the harm was the result of reckless behavior on Curtis' part.
D) Manhattan Tools will not be liable for the harm as OSHA does not apply to private employers.

E) B) and D)
F) None of the above

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Youssef has been an employee of HRG Industries for the past seven months.His wife was recently diagnosed with cancer and needs to undergo surgery.Youssef asks his supervisor,Robert,for four to six weeks of leave pursuant to the Family Medical Leave Act of 1993 (FMLA) for his wife's surgery and rehabilitation.Which of the following holds true in this case?


A) Robert is not required to grant the leave under the FMLA because the act is limited to employees at the executive level.
B) Robert is not required to grant the leave under the FMLA because Youssef has worked for HRG Industries for less than 12 months.
C) Robert is required to grant the leave under the FMLA because Youssef belongs to a protected class.
D) Robert is required to grant the leave under the FMLA because the condition of Youssef's wife is severe.

E) A) and D)
F) A) and B)

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