SHRM Exam Questions with 100%
Correct Answers
EPLI Correct Answer: Employment practices liability insurance
Employment practices liability insurance Correct Answer: Covers legal costs
regardless of the outcome.
What type of communication helps ensure an employer's compliance with
federal, state, and local law? Correct Answer: Labor Posters
Which best demonstrates an attorney work product? Correct Answer: Notes
from interviews done at the attorney's request
What undergoes a systematic and comprehensive evaluation during an HR
audit? Correct Answer: HR policies, practices, procedures, and strategies
What is the purpose of an HR compliance checklist? Correct Answer: To help
ensure that the organization fulfills the requirements of HR laws and regulations
Disparate treatment Correct Answer: Discrimination occurs when an applicant
or employee is treated differently because of his or her membership in a
protected class
Disparate impact (or adverse impact) Correct Answer: results when a policy
that appears to be neutral has a discriminatory effect.
Civil Rights Act of 1964 Correct Answer: Piece of U.S. legislation was the nation's
first comprehensive federal law making it unlawful to discriminate in
employment on the basis of race, color, religion, sex, or national origin.
,Title VII of the Civil Rights Act Correct Answer: Brings about equality in hiring,
transfers, promotions, compensation, access to training, and other employment-
related decisions.
Bona fide occupational qualification (BFOQ) Correct Answer: employment
qualifications that employers are allowed to consider while making decisions
about hiring and retention of employees. The qualification should relate to an
essential job duty and is considered necessary for operation of the particular
business. Race can never be a factor
Uniformed Guidelines on Employee Section Procedures Correct Answer: cover
all aspects of the selection process, including recruiting, testing, interviewing,
and performance appraisals (to the extent that they are used to make
employment decisions)
The Americans with Disabilities Act (ADA) applies to all employers, excluding the
federal government, with at least how many employees? Correct Answer: 15
Which is a key provision of the Older Workers Benefit Protection Act (OWBPA) of
1990? Correct Answer: Benefits offered to older workers must be equal to those
offered to younger workers.
How would an organization best defend against a claim of adverse impact?
Correct Answer: By demonstrating work-related requirements
Which U.S. Supreme Court case found the practice of hiring a male with
preschool-aged children over a woman with preschool-aged children to be in
violation of Title VII? Correct Answer: Phillips v. Martin Marietta Corporation
Which statement is correct under the Americans with Disabilities Act? Correct
Answer: Accommodation is not required if it results in undue hardship for the
organization.
,Fair Labor Standards Act (FLSA) of 1938 Correct Answer: Establishes minimum
wages, overtime pay, youth employment, and record-keeping standards
affecting full-and part-time workers in the private sector and in federal, state,
and local governments.
Also know as Wage and Hour Law Correct Answer: Fair Labor Standards Act
Also know as Wagner-Connery Wages and Hours Act Correct Answer: Fair Labor
Standards Act
Not covered under FLSA Correct Answer: Independent contractor
Portal-to-portal Act Correct Answer: Amended FLSA and defined additional
rules for hours worked.
Equal Pay Act (EPA) of 1963 Correct Answer: amendment to FLSA, prohibits
unequal pay for equal or "substantially equal" work performed by men and
women.
Employee Retirement Income Security Act (ERISA) of 1974 Correct Answer:
establish uniform minimum standards to ensure that employee retirement plans
are set up and maintained in a fair and financially sound manner
Sarbanes-Oxley Act (SOX) of 2002 Correct Answer: Requires that all publicly held
companies establish internal controls and procedures for financial reporting to
reduce the possibility of corporate fraud.
Ledbetter Act Correct Answer: Statute of limitations resets as the employer issues
each allegedly discriminatory paycheck
A family-owned business with 100 employees wants to set up a retirement plan.
If the organization implements a qualified defined contribution plan, what
restrictions does the Employee Retirement Income Security Act impose on the
, investment of the assets? Correct Answer: The employer has a fiduciary
responsibility to invest the pension fund as any prudent person would.
Which employee must be paid overtime under the Fair Labor Standards Act
(FLSA)? Correct Answer: Manager who earns $450 per week
Which does not count toward the regular rate of pay for overtime calculations?
Correct Answer: Discretionary bonuses
An HR director is tasked with the fiduciary duty for the organization's retirement
plan. What action best describes this obligation? Correct Answer: An HR director
is tasked with the fiduciary duty for the organization's retirement plan. What
action best describes this obligation?
A key manager is retiring, and the company wants her to keep working in a
part-time capacity. She will work 20 hours a week and continue to perform a
portion of her old duties. What Fair Labor Standards Act (FLSA) classification
should the HR manager recommend for the manager? Correct Answer: Exempt
employee
Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 Correct
Answer: provides individuals and their dependents who otherwise would lose
their coverage due to a COBRA qualifying event with an opportunity to
continue receiving health-care coverage under the employer's group health
plan at the individual's expense
Family and Medical Leave Act (FMLA)of 1993 Correct Answer: requires
employers to allow employees to take time off for certain caregiving, medical,
military, and family needs
National Defense Authorization Act (NDAA) Correct Answer: provided the first
expansion of FMLA leave for employees with family members who are covered
members of the military
Correct Answers
EPLI Correct Answer: Employment practices liability insurance
Employment practices liability insurance Correct Answer: Covers legal costs
regardless of the outcome.
What type of communication helps ensure an employer's compliance with
federal, state, and local law? Correct Answer: Labor Posters
Which best demonstrates an attorney work product? Correct Answer: Notes
from interviews done at the attorney's request
What undergoes a systematic and comprehensive evaluation during an HR
audit? Correct Answer: HR policies, practices, procedures, and strategies
What is the purpose of an HR compliance checklist? Correct Answer: To help
ensure that the organization fulfills the requirements of HR laws and regulations
Disparate treatment Correct Answer: Discrimination occurs when an applicant
or employee is treated differently because of his or her membership in a
protected class
Disparate impact (or adverse impact) Correct Answer: results when a policy
that appears to be neutral has a discriminatory effect.
Civil Rights Act of 1964 Correct Answer: Piece of U.S. legislation was the nation's
first comprehensive federal law making it unlawful to discriminate in
employment on the basis of race, color, religion, sex, or national origin.
,Title VII of the Civil Rights Act Correct Answer: Brings about equality in hiring,
transfers, promotions, compensation, access to training, and other employment-
related decisions.
Bona fide occupational qualification (BFOQ) Correct Answer: employment
qualifications that employers are allowed to consider while making decisions
about hiring and retention of employees. The qualification should relate to an
essential job duty and is considered necessary for operation of the particular
business. Race can never be a factor
Uniformed Guidelines on Employee Section Procedures Correct Answer: cover
all aspects of the selection process, including recruiting, testing, interviewing,
and performance appraisals (to the extent that they are used to make
employment decisions)
The Americans with Disabilities Act (ADA) applies to all employers, excluding the
federal government, with at least how many employees? Correct Answer: 15
Which is a key provision of the Older Workers Benefit Protection Act (OWBPA) of
1990? Correct Answer: Benefits offered to older workers must be equal to those
offered to younger workers.
How would an organization best defend against a claim of adverse impact?
Correct Answer: By demonstrating work-related requirements
Which U.S. Supreme Court case found the practice of hiring a male with
preschool-aged children over a woman with preschool-aged children to be in
violation of Title VII? Correct Answer: Phillips v. Martin Marietta Corporation
Which statement is correct under the Americans with Disabilities Act? Correct
Answer: Accommodation is not required if it results in undue hardship for the
organization.
,Fair Labor Standards Act (FLSA) of 1938 Correct Answer: Establishes minimum
wages, overtime pay, youth employment, and record-keeping standards
affecting full-and part-time workers in the private sector and in federal, state,
and local governments.
Also know as Wage and Hour Law Correct Answer: Fair Labor Standards Act
Also know as Wagner-Connery Wages and Hours Act Correct Answer: Fair Labor
Standards Act
Not covered under FLSA Correct Answer: Independent contractor
Portal-to-portal Act Correct Answer: Amended FLSA and defined additional
rules for hours worked.
Equal Pay Act (EPA) of 1963 Correct Answer: amendment to FLSA, prohibits
unequal pay for equal or "substantially equal" work performed by men and
women.
Employee Retirement Income Security Act (ERISA) of 1974 Correct Answer:
establish uniform minimum standards to ensure that employee retirement plans
are set up and maintained in a fair and financially sound manner
Sarbanes-Oxley Act (SOX) of 2002 Correct Answer: Requires that all publicly held
companies establish internal controls and procedures for financial reporting to
reduce the possibility of corporate fraud.
Ledbetter Act Correct Answer: Statute of limitations resets as the employer issues
each allegedly discriminatory paycheck
A family-owned business with 100 employees wants to set up a retirement plan.
If the organization implements a qualified defined contribution plan, what
restrictions does the Employee Retirement Income Security Act impose on the
, investment of the assets? Correct Answer: The employer has a fiduciary
responsibility to invest the pension fund as any prudent person would.
Which employee must be paid overtime under the Fair Labor Standards Act
(FLSA)? Correct Answer: Manager who earns $450 per week
Which does not count toward the regular rate of pay for overtime calculations?
Correct Answer: Discretionary bonuses
An HR director is tasked with the fiduciary duty for the organization's retirement
plan. What action best describes this obligation? Correct Answer: An HR director
is tasked with the fiduciary duty for the organization's retirement plan. What
action best describes this obligation?
A key manager is retiring, and the company wants her to keep working in a
part-time capacity. She will work 20 hours a week and continue to perform a
portion of her old duties. What Fair Labor Standards Act (FLSA) classification
should the HR manager recommend for the manager? Correct Answer: Exempt
employee
Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 Correct
Answer: provides individuals and their dependents who otherwise would lose
their coverage due to a COBRA qualifying event with an opportunity to
continue receiving health-care coverage under the employer's group health
plan at the individual's expense
Family and Medical Leave Act (FMLA)of 1993 Correct Answer: requires
employers to allow employees to take time off for certain caregiving, medical,
military, and family needs
National Defense Authorization Act (NDAA) Correct Answer: provided the first
expansion of FMLA leave for employees with family members who are covered
members of the military
