A company is not meeting its sales goals. It believes part of the problem is the quality of raw materials being used in production. Which corporate strategy would be most effective to address this concern?
A) Diversification
B) Vertical integration
C) Horizontal expansion
D) Consolidation
B is correct. "Vertical integration" is the correct response as this strategy involves a company taking complete control over one or more stages in the production or distribution of its product, which would therefore provide control over the quality of the raw materials.
A, C, & D are incorrect.
A) "Diversification" is a strategy involves acquiring or establishing a business other than that of its current product. Often diversification gains a company a new segment of an industry in which the business already competes rather than improve anything in their current process.
C) "Horizontal expansion" is a strategy involves taking existing products or services and acquiring a new, often related, business and the same level of the value chain in an industry.
D) "Consolidation" is a strategy involves mergers and acquisitions, usually of many smaller companies into much larger ones, with the focus on growth.
Which of the following questions addresses an economic PEST factor?
A) Do any tax or other socialized incentives exist that will impact hiring practices?
B) How will generational attitude shifts influence recruitment efforts?
C) Will the unemployment rate significantly affect the job market?
D) Are there infrastructure changes that will affect work patterns?
C is correct. The unemployment rate is an economic factor that can significantly affect the vitality of the job market.
A, B, and D are incorrect.
A) is a political factor
B) is a social factor
D) is a technological factor.
Which employee lifecycle (ELC) phase would most likely have the greatest effect on a millennial in today’s workforce?
A) Recruitment and selection
B) Training and development
C) Performance management
D) Transition
A is correct. The recruitment and selection phase would most likely be the phase with the greatest effect on the millennial since millennials are characteristically younger with significant personal interests, i.e., starting a family. Millennials often prioritize factors such as company culture, values alignment, career growth opportunities, and work-life balance when choosing an employer. The recruitment and selection process is crucial in shaping their perception of the organization and determining whether it meets their expectations and values.
B, C, and D are incorrect. While each of these choices is a phase of the employee life cycle that also impacts the millennial, each impact is more directly connected to job interest and performance.
Which of the following quality control tools would be best when evaluating whether a reduction in sales staff correlates to a decrease in sales?
A) Fishbone diagram
B) Scatter diagram
C) Pareto chart
D) Histogram
B is correct. A scatter diagram is used to compare two variables. The two variables in this case are then the number of sales staff and company revenue.
A, C, and D are incorrect. A is incorrect because a fishbone diagram (cause and effect) compares several causes that are suspected to affect an outcome. C is incorrect because a Pareto chart is used to help the HR professional determine which needs should be focused on in order to gain the most improvement. A Pareto chart visually shows the 80/20 principle, which says that 20 percent of the problems, if addressed appropriately, will yield 80 percent of the improvements. D is incorrect because a histogram visually shows the changes for 1 variable. This case has 2 variables.
In China, employees do not want to challenge their senior workers or supervisors and just want to obey the decisions or orders their superiors make. This is due to China’s high:
A) Masculinity
B) Individualism
C) Power Distance
D) Diffuse
Correct Answer: C
In Hofstede’s cultural dimensions, Power Distance refers to how much inequality and hierarchy are accepted in a society. In high power distance cultures (like China), employees expect clear hierarchies, avoid challenging authority, and show deference to supervisors. This explains why employees prefer to obey decisions rather than question their superiors.
Why the others are 错误的 (WRONG)
A) Masculinity: Refers to competition, achievement, and material success versus cooperation and quality of life. It does not directly explain obedience to authority.
B) Individualism: Relates to whether people prioritize individual goals versus group goals. China is more collectivist, but the behavior described here is more about hierarchy, not individualism.
D) Diffuse (from Trompenaars’ model): Refers to the separation (or blending) of personal and work life, not obedience to authority.
The Office Junction Company is having a problem with its number one selling desk chair. Many low prices competitors are entering the market and putting pressure. Office Junction has an excellent reputation and a strong brand image, but their sales are starting to decline. Office Junction is considering whether they should introduce new products to meet the competitions' strategy. What is Office Junction's best option for remaining competitive?
A) Reduce the price of their premier selling desk chair to compete with the competition
B) Redesign the desk chair and strengthen the market position by highlighting the value of the product
C) Have the product development team create a low-priced product that can compete at a lower price point
D) Target customers that are not price-conscious
Correct Answer: B
Office Junction’s strength is its brand reputation and image of quality. Competing on price alone (options A or C) would weaken margins and damage the brand. By redesigning the chair and emphasizing its superior comfort, durability, or design, the company can differentiate on value, justify its premium price, and reinforce customer loyalty. This approach protects long-term competitiveness without diluting the brand.
Why the others are wrong:
A (reduce price): Hurts profitability and undermines premium positioning.
C (create low-priced product): Risks brand dilution and confuses customers.
D (target only non–price-conscious customers): Too narrow and reactive; misses broader competitive strategy.
According to COBRA, a company with 20 or more employees must offer
A) COBRA benefits to spouses of deceased workers
B) Health insurance continuation to employees on unpaid leave
C) Extended health benefits to retired employees over 65
D) Health insurance coverage to part-time employees
A is the correct answer. The Consolidated Omnibus Budget Reconciliation Act (COBRA) requires companies with 20 or more employees to offer continuation of group health benefits to employees and their families in specific situations where coverage would otherwise be lost. One of these situations includes offering COBRA benefits to spouses of deceased workers, ensuring they have the opportunity to maintain their health coverage for a limited period.
B, C, & D are incorrect.
Option B is incorrect because COBRA does not specifically mandate health insurance continuation for employees on unpaid leave; Option C is wrong because COBRA does not mandate extended health benefits specifically for retired employees over 65; Option D is incorrect because COBRA pertains to the continuation of existing group health benefits and does not specifically mandate health insurance coverage for part-time employees.
A manufacturing company is facing safety violations, and an employee has reported unsafe working conditions anonymously. As the HR manager, you must ensure compliance with safety regulations while maintaining the employee’s confidentiality.
What is the best course of action for the HR manager?
a) Conduct a thorough investigation and communicate findings to all employees
b) Ignore the complaint if it’s anonymous
c) Notify management without revealing the employee's identity, ensuring they investigate
d) Publicly announce the violation to discourage future complaints
C is correct:
This option ensures compliance with workplace safety requirements while also protecting employee confidentiality, which encourages a culture of trust and psychological safety. It ensures the violation is addressed while honoring the integrity of the reporting process, which is a core SHRM competency.
Why the other options are wrong:
(a) Conduct a thorough investigation and communicate findings to all employees: Investigation is good, but broadcasting findings widely risks unintentionally revealing the complainant’s identity and can discourage future reporting. Proper communication should be targeted and confidential.
(b) Ignore the complaint if it’s anonymous: This violates compliance obligations and could lead to legal liability (e.g., OSHA standards in the U.S.) while also damaging trust in HR. All reports—anonymous or not—must be taken seriously.
(d) Publicly announce the violation to discourage future complaints: This is the opposite of good practice. It would create fear, retaliation risks, and further damage morale and compliance culture.
Which of the following is a characteristic of labor or trade unions?
A) All adhere to the ILO core standards.
B) Employee expectations of unions vary by country.
C) Unions tend to have a combative relationship with management.
D) Unions generally operate in similar fashions globally.
B is correct. Employee expectations of their unions vary greatly by country. Unions are structured differently by country. For example, in some countries a union may be run by a corporation or may be associated with certain political parties, whereas in the United States unions run by a company are illegal, and union support of particular political parties is controversial. These types of influences affect an employee’s relationship with the union.
A, C, and D are incorrect.
A) Internationally unions have not all adopted or enforced International Labour Organization (ILO) labor standards.
C) A union’s relationship with management isn’t mostly combative. In fact, most organizations try to establish positive union relationships in order to improve grievance resolutions, improve the collective bargaining process, and avoid unnecessary problems.
D) Globally unions appear to have little in common. An HR professional working in a country outside of their home country will need to familiarize themselves with how particular unions function in their area.
Mark has been hired as the first director of training for Vuitton, Inc. Mark has been spending his first few weeks meeting with operating managers and learning the business at Vuitton. He has told the managers he wants to partner with them to help solve their problems. Mark______________.
A) probably believes that training can solve most organizational problems
B) is displaying a strategic training mindset
C) is taking a tactical approach to training
D) is focusing on knowledge management
Correct Answer: B
Mark is not just looking to deliver training sessions; he is meeting with managers, learning the business, and positioning himself as a partner in solving organizational problems. This reflects a strategic training mindset, where training is aligned with business goals and integrated into the company’s overall strategy.
Why the others are Wrong:
A) Believes training can solve most problems: The scenario doesn’t show this. Instead, Mark is learning the business first, not assuming training is the only solution.
C) Taking a tactical approach: A tactical approach focuses on short-term, specific training activities (e.g., scheduling workshops). Mark’s approach is broader, aimed at long-term alignment with business needs.
D) Focusing on knowledge management: Knowledge management involves capturing, storing, and sharing organizational knowledge. While valuable, this is not what Mark is doing here.
An employee elects a $500 annual deferment in his Section 125 Flexible Benefits Plan (FSA). His employer pays an FSA claim for $500 in March. In April, the employee terminates his employment after deferring only $167 to his plan. What happens in this situation?
A) The employee must repay the remaining $333 to the employer
B) The employee is entitled to the full reimbursement of $500
C) The employer can withhold the remaining $333 from the employee's final paycheck
D) The employee forfeits the $167 already deferred
B is correct. Under the rules governing Section 125 Flexible Benefits Plans (FSAs), once an employee incurs an eligible expense and submits a claim, they are entitled to the full reimbursement amount, even if they terminate employment before deferring the total annual elected amount. In this case, the employee is entitled to the full $500 reimbursement, regardless of having only deferred $167 to the plan by the time of termination.
A, C, & D are incorrect. Option A is wrong as the employee is not required to repay the remaining $333. Option C is wrong because the employer cannot withhold the remaining amount from the employee's final paycheck. Option D is incorrect because the employee does not forfeit the $167 already deferred
An HR director has assembled senior staff to discuss ways to develop the talent pool necessary to support the organization's new strategic direction. Several of the managers support providing a summary of the strategy to the major search firms under contract. How should the HR director respond?
A) Acknowledge the suggestion in the meeting but ignore it
B) Delegate the task of communicating with the search firms to this group
C) Explain to the group in detail why this would be a deficient response
D) Encourage the group to analyze the issue and identify novel responses
D is correct. The HR director should encourage the group to analyze the issue and identify novel responses. This approach fosters collaboration, critical thinking, and creativity among the senior staff. By engaging the group in a deeper analysis, they can come up with more innovative and effective strategies to develop the talent pool that aligns with the organization's new strategic direction.
A, B, & C are incorrect. Option A is incorrect because ignoring the suggestion does not address the potential value or concerns it may have. Option B is incorrect because delegating the task immediately may overlook better alternatives or more strategic approaches. Option C is incorrect because dismissing the suggestion outright might discourage open discussion and the sharing of ideas in the future.
What are three characteristics of formal mentoring that distinguish it from informal mentoring?
A) Self-selection of mentors and mentees, unspecified goals, no training and support
B) Unlimited employee access to the program, a mix of individual and large-group sessions, unspecified outcomes
C) Connection to organizational strategies, self-selection of mentors and mentees, long-term engagements
D) Deliberate pairing of mentors and mentees, established goals, expert training and support
D is correct. Formal mentoring programs are characterized by deliberate pairing of mentors and mentees based on specific criteria, established goals that align with the organization's objectives, and expert training and support provided to both mentors and mentees. These features distinguish formal mentoring from informal mentoring, which typically lacks structured pairing, specific goals, and formal support mechanisms.
A, B & C are incorrect. A) Self-selection, unspecified goals, and no training/support are traits of informal mentoring, not formal mentoring. B) Unlimited access, mixed session formats, and unspecified outcomes do not specifically distinguish formal mentoring. C) Connection to organizational strategies and long-term engagements can be part of formal mentoring, but self-selection of mentors and mentees is more typical of informal mentoring.
An automobile company has updated its production process with the newest robotic technology. This update in innovation has led to greater efficiency and higher quality components for the cars. Because this new efficiency, the company will be closing one of its plants that has outdated and obsolete technology. The designated plant that will be closed currently has 273 employees that work three shifts. 34. According to the WARN Act, does the automobile company need to give any notice to the 273 employees?
A) No, the company is not unionized and the WARN Act does not apply
B) No, the company does not employee over 300 full time employees
C.) Yes, the company employs over 100 full time employees
D) Yes, the company employs over 200 full time employees
Correct Answer is C
Why the others are wrong:
A) No, the company is not unionized: Union status is irrelevant; WARN applies based on employer size and number of employees affected.
B) No, the company does not employ over 300 full time employees: WARN threshold is 100, not 300.
D) Yes, the company employs over 200 full time employees: While true numerically, the legal requirement is tied to the 100-employee threshold, not 200.
At a recent management meeting, during one manager’s presentation, he/she made a joke that others reported later as being insensitive. Apparently, he/she had laughed when he/she saw a “he-she” at the grocery store the evening prior and “ran the other way.” Two employees have now come to you with a similar account of what happened and asked what will be done to handle this situation. What would you say in response to the complainants?
A) “This is completely unacceptable. We do not tolerate insensitive remarks at our organization. We will address this right away, and the manager will be dealt with appropriately.”
B) Ask clarifying questions such as these: “What was the context of discussion when the remark was made? Was it said in a joking manner?”
C) “Thank you for bringing this to my attention. You are not the only person who has reported this incident. We will be launching an investigation shortly regarding this matter.”
D) “Thank you for bringing this to my attention. We will look into this immediately. Is it OK if I contact you again for questions or clarification regarding the facts of the situation if needed?”
Correct Answer: D
This is the best HR response because it:
Thanks and acknowledges the complainants (showing respect and openness). Commits to investigating the situation (fulfilling compliance and fairness obligations). Keeps the response neutral and fact-focused without prejudging the outcome.
Leaves the door open for follow-up questions if clarification is needed.
This reflects HR best practices: remain professional, neutral, and process-driven while ensuring employees feel heard.
Why the other are wrong:
A) Declaring the comment “completely unacceptable” and promising immediate discipline prejudges the outcome without investigation. HR must investigate before determining corrective action.
B) While clarifying questions can be appropriate in an interview or investigation, asking them immediately risks making employees feel dismissed or like their complaint is being doubted. It’s better to acknowledge and log the report first.
C) Saying “you are not the only person who has reported this” discloses unnecessary information that could compromise confidentiality or discourage trust in the process.
A shoe distribution company has been concentrating on coaching and developing its employees. The manager of the distribution department adjusts his leadership style to what is necessary for each employee, depending on the employee’s level of job development and maturity. The manager of the marketing department does not change his leadership style, rather changes the factors surrounding a situation to manage the marketing department employees. Which leadership style is the distribution manager following?
A) Blake-Mountain’ managerial theory
B) Hersey-Blanchard’s situational theory
C) Fiedler’s contingency theory
D) Herzberg’s motivational theory
Correct Answer: B
The distribution manager adapts his leadership style depending on the employee’s level of job development and maturity. This is the essence of Hersey-Blanchard’s Situational Leadership Theory, which states that effective leaders adjust their style (telling, selling, participating, or delegating) based on the follower’s readiness, competence, and commitment. In short: the leader changes their behavior to match the employee’s needs.
Why not the others?
A) Blake-Mouton Managerial Grid: Focuses on concern for people vs. concern for production, but it does not emphasize adapting leadership style to follower maturity.
C) Fiedler’s Contingency Theory: Suggests leadership effectiveness depends on matching a leader’s fixed style to the right situation. Unlike Situational Leadership, it assumes a leader’s style does not change.
D) Herzberg’s Motivation-Hygiene Theory: Explains job satisfaction and motivation factors, but it is not a leadership style theory.
The HR function is responsible for providing the marketing department with job candidates who possess very specialized skills. The head of marketing complains to senior management that they are not getting the right kinds of candidates to effectively pursue their strategic initiatives. What should the HR leader do?
A) Schedule a formal meeting with senior management to discuss the issue and defend HR's recruitment efforts
B) Bring key HR staff from the recruiting team to meet with marketing to understand their needs and brainstorm solutions
C) Send an email to the marketing head asking for more detailed job descriptions to improve candidate selection
D) Propose hiring an external consultant to review and improve the recruitment process for specialized roles
B is correct. Understanding their specific needs and working collaboratively to brainstorm solutions. This approach ensures that HR is directly addressing the concerns of the marketing department, fostering better communication and understanding. It also demonstrates a proactive and cooperative attitude in resolving the issue
A, C & D are incorrect. Option A is incorrect because it focuses on defending HR's efforts rather than addressing the marketing department's concerns. Option C is less effective as it relies solely on written communication, which might not capture the full scope of the issue or lead to immediate solutions. Option D is incorrect because it suggests outsourcing the problem without first attempting to solve it internally through direct collaboration and communication.
Two employees are talking in the lunch room, and they are saying inappropriate things about one of their co-workers. The information is not true; they’re simply saying it to make that employee look bad because they’re jealous of that other employee’s success. As a result of the comments overheard and shared, many employees, supervisors, and managers think that those statements are true. The company leaders decide not to promote this employee because of the false, malicious comments that these two employees made about the employee. What type of training will be most beneficial to prevent this from happening in the future?
A) The most beneficial training will be to focus on ensuring all employees understand the law regarding slander, libel, and false statements.
B) The most beneficial training will be to focus on ensuring all employees understand the law regarding gossip, comments, and false statements.
C) The most beneficial training will be to focus on ensuring all employees understand the law regarding EEOC, discrimination, and prejudicial statements.
D) The most beneficial training will be to focus on ensuring all employees understand the law compared to the company policies and procedures.
A is correct. A is the best answer because these are the key areas to training all employees about what not to do in the workplace.
B, C, and D are incorrect. B is the second-best answer because these are also keys to correct and eliminate. C and D focus on training in areas that are not as effective.
The CEO of the company attended a seminar on mindfulness and has made the training mandatory for all managers and supervisors. The training focuses on mindfulness, emotional intelligence, and meditation. Several supervisors and managers object, stating that the training feels religious and spiritual and request religious accommodation. The CEO believes the training will improve profitability, communication, and conflict management. This is unscheduled training from the training budget. What type of budgetary response is necessary to fund the training at this point?
A) Zero-based budgeting
B) Incremental budgeting
C) Activity-based budgeting
D) Formula-based budgeting
C is correct. Activity-based budgeting (ABB) is the best approach for funding the new, unscheduled mindfulness training program. ABB allocates funds based on the specific costs of new activities, ensuring efficient resource allocation and alignment with the company's strategic goals.
A, B, & D are incorrect. Zero-based budgeting, method requires justifying all expenses from scratch, which is too extensive for an unscheduled training event. Incremental budgeting method adjusts the previous budget without considering new activities, making it ineffective for addressing specific new training costs. Formula-based budgeting approach uses predefined formulas, which lack the flexibility to address unique, unscheduled training needs.
Phillip was transferred from France to work at one of Mega Oil Company’s subsidiaries located in Texas. The duration of the transfer is projected to be 3-5 years. Phillip is married to Sophia and they have two school age children. Sophia was not successful adjusting to the culture of Texas and decided it would be best to take the children and return back to France. Phillips remains but is not performing at peak efficiency because he misses his wife and children. Mega Oil would classify this as a:
A) Down time
B) Brown out
C) Brown field
D) Expatriate Ghetto
Correct Answer: B
A brownout refers to an expatriate assignment where the employee remains physically on the job but is not fully engaged or performing at peak capacity due to adjustment issues, stress, or family concerns. In Phillip’s case, his wife and children returned to France because they could not adjust to Texas culture, leaving him isolated and struggling with performance. This is a textbook example of a brownout in international HR management.
Why the others are WRONG:
A) Down time: Refers to temporary periods of inactivity or non-productivity (often operational, not tied to expatriate adjustment).
C) Brown field: Refers to a type of investment strategy (expanding or upgrading existing facilities) in international business, unrelated to expatriate performance.
D) Expatriate Ghetto: Describes a situation where expatriates only socialize within their own cultural group abroad, limiting integration—but Phillip’s issue is family separation and performance decline, not forming an isolated expat community.
One employee is not succeeding as well as the other two employees in the department. The other two have exceeded the standard consistently for almost an entire year, and they were both promoted with a pay increase. The first employee complained because he did not understand. Based on the Adams Equity Theory, he wanted to get a promotion and pay increase as well. He believed he was doing the same level of work they were doing even through the data shows different performance from the others. He claimed it was because of race and discrimination. The other two have significantly outperformed the minority employee, so there are no grounds for his complaint, but the manager is concerned because the employee is threatening to sue. What is the key information to use when discussing the concerns with the first employee who is making the claim?
A) The key information consists of the feelings and concerns behind the decision that can be shared with the employee.
B) The key information consists of the objective data and facts supporting the decision that can be shared with the employee.
C) The key information consists of the policies and procedures supporting the decision that can be shared with the employee.
D) The key information consists of the standards and results supporting the decision that can be shared with the employee.
B is correct. B is the best answer because objectivity, facts, and data supporting the situation will make the most difference in a thorough investigation.
A, C, and D are incorrect. C is the second-best answer because it is important for everyone to understand the policies and procedures of the company. Feelings and concerns are important in the situation, but following policies and objective information will support the investigation and yield a better result for the company. Results will be determined by the policies, procedures, and objective facts.
What is the one critical requirement for a diversity council?
A) The council must include representation from all employee levels and functions to ensure organization-wide acceptance of its decisions
B) The compensation of the executives on the council must be tied to the achievement of the diversity goals it sets
C) The council must include at least one representative from every employee resource group in the organization to ensure that it is itself diverse
D) The council must be the nexus of the initiative, establishing the strategic vision, goals, and programs and collecting and analyzing outcomes
D is correct. The most critical requirement for a diversity council is that it acts as the central hub for the diversity initiative within the organization. This means it should establish the strategic vision, set goals, develop programs, and be responsible for collecting and analyzing outcomes. By fulfilling this role, the council ensures that diversity efforts are coherent, targeted, and effective, driving the organization's commitment to diversity and inclusion.
A, B, & C are incorrect. Option A is important for ensuring broad representation and buy-in, but it is not the most critical requirement. Option B, while beneficial for accountability, is not essential. Option C is also valuable for ensuring the council's own diversity but does not address the central function of the council in driving the initiative.
One employee is not succeeding as well as the other two employees in the department. The other two have exceeded the standard consistently for almost an entire year, and they were both promoted with a pay increase. The first employee complained because he did not understand. Based on the Adams Equity Theory, he wanted to get a promotion and pay increase as well. He believed he was doing the same level of work they were doing even though the data shows different performance from the others. He claimed it was because of race and discrimination. The other two have significantly outperformed the minority employee, so there are no grounds for his complaint, but the manager is concerned because the employee is threatening to sue. What should HR recommend to reduce the negative effect of the Adams Equity Theory on future employment decisions?
A) HR could recommend making policies, procedures, and practices clear and include MBO in the evaluation process to help the employee understand the standards expected.
B) HR could recommend making time to interact with the employee and include a narrative in the evaluation process to help the employees understand how they are doing.
C) HR could recommend making relationships and influence strong and include graphic ratings in the evaluation process to help the employee understand their success.
D) HR could recommend making goals, objectives, and standards clear and including BARS in the evaluation process to help the employee understand their competency level.
D is correct. D is the best answer because the employees will have a clear understanding of the objective inputs and outputs of their goals versus their contributions.
A, B, and C are incorrect. B is the second-best answer because the employee can have good feedback sessions and discussions with their manager that will reduce the subjective perspective they may have about their performance. Graphic ratings are often subjective and hard to justify, and policies and procedure will have little impact of subjective thoughts of employees.
The CEO of the company attended a seminar on mindfulness and has made the training mandatory for all managers and supervisors. The training focuses on mindfulness, emotional intelligence, and meditation. Several supervisors and managers object, stating that the training feels religious and spiritual and request religious accommodation. The CEO believes the training will improve profitability, communication, and conflict management. This is unscheduled training from the training budget. If there is no religious or spiritual aspect to this training, must the organization accommodate the managers and supervisors who do not want to participate?
A) No, the accommodation is not necessary, and all the leaders must participate as required by the CEO’s directive.
B) No, the company is not legally required to accommodate, but they should consider doing it anyway.
C) Yes, the company must accommodate the leader’s request because there is no undue hardship to the organization.
D) No accommodation is required, but the CEO should alleviate any valid concerns about the training through communication sessions.
D is correct. If the training does not have any religious or spiritual content, the organization is not legally required to accommodate the managers' and supervisors' objections. However, addressing their concerns through communication sessions can help clarify the purpose and benefits of the training, ensuring better understanding and acceptance among the staff.
A, B, & C are incorrect. Mandating participation without addressing concerns may lead to resentment and lack of engagement. While considering accommodation is thoughtful, it is not necessary if there is no religious content. Legal accommodation is not required in this context as there is no undue hardship and no religious aspect involved.
Six weeks ago, Rita made an error on a report she created for her supervisor, Michael. Michael was in a hurry to leave for a long weekend and did not proofread it before turning it into his manager. Michael’s manager found the error and reprimanded Michael. Since then, Michael has been rude and condescending to Rita and has publicly belittled her, given her the least desirable assignments in the department and taken away most of her responsibilities. Rita resigns as a result of this treatment and retains an attorney. What type of claim might the attorney file on Rita’ behalf?
A) At will
B) Failure of good faith and fair dealing
C) Constructive Discharge
D) Termination for Cause
Correct Answer: C
Constructive discharge occurs when an employee resigns because the employer (or supervisor) has created an intolerable work environment that would compel any reasonable person to quit. In this case, Rita faced public belittling, loss of responsibilities, and unfair treatment from her supervisor after a single mistake, ultimately leading her resignation. This is a classic example of constructive discharge.
Why the others are WRONG?
A) At will: At-will employment means either party can end employment at any time. However, at-will does not protect an employer from liability when working conditions force a resignation.
B) Failure of good faith and fair dealing: While some states recognize this doctrine, it is broader and typically tied to contracts or implied promises, not targeted harassment leading to resignation.
D) Termination for cause: Rita was not formally terminated; she resigned. The issue is not cause but whether she was forced out.