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Answer : D

Answer option D is correct.

Chapter: Risk Management

Objective: Risk Assessment

Answer : B

Answer option B is correct.

Tom is committing fraudulent misrepresentation as Mary has asked about the well-being of the company. Tom knows the plant will be closing and just needs a manager for the plant for the next six months. He hires Mary without telling her this news and implies that the company has a commitment to Mary for a long time.

Answer option C is incorrect. A constructive discharge is a workplace environment which is so hostile that the employee feels obligated to quit.

Answer option D is incorrect. The Latin phrase respondeat superior means 'let the master answer.' It means the employer can be held liable for the actions of the employee.

Answer option A is incorrect. Defamation happens when an employer or employee tries to defame the reputation of the other during or after a termination process. For example, an employer may give negative references about the terminated employee.

Chapter: Employee and Labor Relations

Objective: Federal Employment Legislation

Answer : B

Answer option B is correct.

A company cannot threaten employees or make promises to them contingent on the workforce remaining union free. A philosophy statement should be geared toward communicating the company's desire to work directly with the employees in discussions about working conditions or benefits. If a union does attempt to organize, it is important for the employer to work directly with outside council to determine the strategic benefits of discussing the desire to remain union free and the disadvantages/limitations of unions as employee representatives.

Chapter: Employee and Labor Relations

Objective: Review Questions

Answer : B

Answer option B is correct.

The company may make truthful statements about a unionized environment during an organizing campaign, such as pointing out that employees will have to pay dues to the union. Although nonunion employees are free to talk about their reasons for not wanting a union (C), it is an unfair labor practice for the employer to encourage them to do so. Telling employees that the company will have to move the jobs to another country if the union is elected (D) is also a ULP, because it constitutes a threat. Employers may not threaten, interrogate, promise, or spy on (TIPS) employees during an organizing campaign (A).

Chapter: Employee and Labor Relations

Objective: Review Questions

Answer : C

Answer option C is correct.

Constructive discharge occurs when the employer forces an employee to resign by creating a work environment that is so unpleasant a reasonable person would resign. The duty of good faith and fair dealing (B) applies to contracts, requiring both parties to act in a fair and honest manner with each other to ensure that benefits of the contract are realized. Promissory estoppel (D) occurs when an employer entices an employee to take an action by promising a reward but then does not follow through on the reward. Fraudulent misrepresentation (A) occurs when an employer makes untrue promises or claims to a candidate.

Chapter: Employee and Labor Relations

Objective: Review Questions