Chapter 24 Test Questions & Answers Labor Law

Business Law with UCC Applications, 15e (Sukys)

Chapter 24 Labor Law

1) The Independent Drivers Guild (IDG) represents Uber drivers because the IDG is really a union and all Uber drivers are considered "employees" under the Wagner Act.

Difficulty: 2 Medium

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-01 Relate the historical context in which unions developed.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

2) Courts have issued injunctions and used the Taft-Hartley Act to break up right-to-work organizations.

Difficulty: 1 Easy

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-02 Outline the congressional-judicial tug-of-war in union history.

Bloom's: Remember

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

3) The Clayton Act of 1914 prohibited federal courts from issuing injunctions against labor strikes.

Difficulty: 2 Medium

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-02 Outline the congressional-judicial tug-of-war in union history.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

4) The Norris-LaGuardia Act of 1932 forced companies to cooperate with union organizers and thus, keep people working.

Difficulty: 2 Medium

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-03 Identify the major provision of the Norris-LaGuardia Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

5) One of the objectives of labor unions is sponsoring laws that help improve political conditions for workers.

Difficulty: 2 Medium

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-04 List the basic aims of labor unions.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

6) The Wagner Act allowed an individual employee in a unionized business to negotiate his or her own employment contract.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

7) The Norris-LaGuardia Act outlawed so-called "yellow-dog" contracts.

Difficulty: 1 Easy

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Remember

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

8) The Taft-Hartley Act authorized the NLRB to hold hearings on unfair labor practice petitions.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

9) An employer is barred from playing any role in the selection of union representatives.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

10) Brigg Co. asked its employees to refrain from joining the Moderate Union. It promised an out-of-turn promotion for all employees who would refrain from joining the union. Brigg Co. has committed no legal offense by this act.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

11) The NLRB has no jurisdiction over religious schools.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

12) A "right-to-work" state means that workers can choose to opt-out of unions.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

13) The Taft-Hartley Act provides that union shop contracts are legal only in states that do not forbid them.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

14) A right-to-work law outlaws only the union shop, but not the closed shop.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

15) Under other provisions of the Taft-Hartley Act, unions are not legally obligated to give notice to the employer of an intention to strike prior to the termination date of a collective bargaining contract.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Apply

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

16) A "hot-cargo" contract allows a union to handle stolen property that has been recovered by the police and sold at a police auction.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-08 Explain the provisions of the Landrum-Griffin Act.

Bloom's: Apply

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

17) Congress, not the NLRB, has the authority to conduct investigations into unfair labor practice charges.

Difficulty: 3 Hard

Topic: The Collective Bargaining Process

Learning Objective: 24-09 Describe the jurisdiction of the National Labor Relations Board.

Bloom's: Apply

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

18) Strikes by public employees who perform vital services are generally illegal, unless specifically authorized by statute.

Difficulty: 2 Medium

Topic: The Collective Bargaining Process

Learning Objective: 24-10 Identify the possible results of a complaint filed with the NLRB.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

19) The Federal Mediation and Conciliation Service cannot act by itself, but only upon the request of either side to a labor dispute.

Difficulty: 2 Medium

Topic: The Collective Bargaining Process

Learning Objective: 24-10 Identify the possible results of a complaint filed with the NLRB.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

20) In the Sousa v. American Medical Response of Connecticut (AMR) case, the NRLB protected the free speech rights of the employee.

Difficulty: 3 Hard

Topic: The Collective Bargaining Process

Learning Objective: 24-10 Identify the possible results of a complaint filed with the NLRB.

Bloom's: Apply

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

21) In terms of federal laws governing labor-management relations, which of the following statements is incorrect?

A) Picketing and boycotting are subject to federal court injunctions, under the Norris-LaGuardia Act.

B) The Wagner Act created the National Labor Relation Board.

C) The Labor-Management Relations Act of 1947 is also known as the Taft-Hartley Act.

D) It is an unfair labor practice for a labor union to try to coerce employees to join the union, under the Taft-Hartley Act.

Difficulty: 2 Medium

Topic: Labor Law and the Economic Crisis

Learning Objective: 24-05 Explain the nature of the 21st century crisis in labor law.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

22) Mina does not like the way the Adams Co. Production Union, which represents employees at her Adams Co. plant, is representing her interests and wants to privately negotiate her own contract with Adams Co. Which of the following statements is most likely true?

A) Mina has the right to negotiate her own terms of employment.

B) Production Union represents Mina; hence, she cannot negotiate her own contract.

C) Production Union only represents the workers who want to be represented.

D) Mina must have NLRB approval to negotiate her own contract.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

23) The Wagner Act does all of the following except:

A) authorize the NLRB to hold hearings on unfair labor practice petitions.

B) outlaw certain practices by employers as unfair labor practices.

C) allow states to legislate right-to-work laws.

D) authorize the NLRB to conduct representative elections.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.; 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

24) The major provision of the ________ is that it exempts union activity from antitrust laws.

A) Norris-LaGuardia Act

B) Railway Labor Act

C) Clayton Act

D) Wagner Act

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

25) Citral Co. orders its employees not to join a labor union. It makes it clear that any employee joining the union would merit a demotion and a drastic cut in the pay package.

A) Citral Co. has simply exercised its right to freedom of speech.

B) Citral Co. is trying to protect its business interest by legal means.

C) Citral Co. has violated the law by passing these orders.

D) Citral Co. has not violated the law, as these instructions do not cause any physical harm to anybody.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

26) The ________ gives the president of the United States special powers to deal with actual or threatened strikes that affect interstate commerce or that endanger the nation's health and safety.

A) Wagner Act

B) Taft-Hartley Act

C) Landrum-Griffin Act

D) Norris-LaGuardia Act

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Apply

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

27) Avalon Co., by agreement, hires only union members in good standing. Avalon Co. has:

A) created a union shop.

B) created a closed shop.

C) formed a company-run union.

D) created an agency shop.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

28) Hamyes Chemical Works allows its employees to be exposed to certain chemicals. George, an employee, reports this to his union and agrees to testify when the union brings a claim that this is in violation of a union contract. George is immediately discharged from the job. Hamyes Chemical Works:

A) has rightly discharged George as his act amounted to breach of trust.

B) would be liable for legal action under the Wagner Act.

C) could be charged with coercion and harassment under the Taft-Hartley Act.

D) is protected under the First Amendment.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

29) Joe, an outspoken union advocate working in the shipping department at Frontline Co. for the past 10 years, is transferred to clean out the oil pit. Joe is also paid less for this job. Joe has several allergic reactions to the oil and quits the company due to health reasons. Frontline Co. has:

A) exercised lawful management rights.

B) made a discriminatory decision in violation of the Civil Rights Act.

C) established a closed shop.

D) engaged in constructive discharge.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

30) A(n) ________ shop is a workplace in which nonunion members may be employed for a trial period of not more than 30 days after which the nonunion workers must join the union or be discharged.

A) open

B) agency

C) closed

D) union

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

31) AML Union tells Standard Co. during contract negotiations that "unfortunate events may occur" if Standard does not agree to most of the union contract proposals. The next day, two Standard Co. trucks burn. AML Union has:

A) not bargained in good faith.

B) made a statement of opinion.

C) exercised its First Amendment rights.

D) engaged in destructive bargaining.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

32) It is possible for the state governments in Wisconsin, Ohio, and Michigan to attempt to alter the collective bargaining rights of firefighters, police officers, and teachers. Why?

A) These states have voted to keep the Wagner Act out of their states.

B) The Wagner Act does not apply to state government or local government employees.

C) The rulings of the agencies constituted under the Wagner Act are not legally binding.

D) The Wagner Act is applicable only to private organizations.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

33) Big Union negotiates a wage increase for members of a bargaining unit. This wage increase is:

A) only for union members.

B) only for workers whose names are listed in the contract.

C) for all workers who join the union.

D) for all workers in the bargaining unit.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

34) A(n) ________ is a conspiracy in which a union places pressure on a neutral customer (with whom the union has no dispute) to cease doing business with the employer, with whom the union has a dispute.

A) constructive discharge

B) featherbedding

C) secondary boycott

D) arbitration

Difficulty: 1 Easy

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Remember

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

35) If Bellard Co. tells its employees that voting for the union is a mistake, its statement is:

A) protected by the Taft-Hartley Act.

B) prohibited by the NLRB.

C) only allowed in right-to-work states.

D) protected by the Landrum-Griffin Act.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Apply

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

36) Jane believes that the Big Union leaders are using union funds illegally, so she speaks out against the leaders. Big Union expels Jane. Which of the following statements is true?

A) Big Union may determine its own membership.

B) Big Union has engaged in an unfair labor practice.

C) Big Union has to contact the NLRB before expelling Jane.

D) Jane has to contact the NLRB before speaking out.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Evaluate

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

37) In a national emergency strike, the Attorney General can address a petition to the:

A) U.S. Supreme Court.

B) federal court of appeals.

C) federal district court.

D) state supreme court.

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

38) A union must register its bylaws with the:

A) NLRB.

B) Department of Commerce.

C) Federal district court.

D) Secretary of Labor.

Difficulty: 1 Easy

Topic: Major Federal Labor Legislation

Learning Objective: 24-08 Explain the provisions of the Landrum-Griffin Act.

Bloom's: Remember

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

39) The ________ Act established a bill of rights for union workers.

A) Landrum-Griffin

B) Taft-Hartley

C) Clayton

D) Wagner

Difficulty: 2 Medium

Topic: Major Federal Labor Legislation

Learning Objective: 24-08 Explain the provisions of the Landrum-Griffin Act.

Bloom's: Understand

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

40) A meritorious unfair labor practice charge filed with the NLRB first goes to:

A) arbitration.

B) a hearing.

C) federal district court.

D) mediation.

Difficulty: 1 Easy

Topic: The Collective Bargaining Process

Learning Objective: 24-10 Identify the possible results of a complaint filed with the NLRB.

Bloom's: Remember

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

41) Xavier owned and operated the Xavier Paper Products Corporation. Xavier discovered that one of his employees planned to hold a meeting in order to discuss the possibility of forming a union. Xavier placed a notice on the bulletin board in each store warning employees that any employee who joined a union would be subject to immediate dismissal. Did such a notice violate federal law? Explain.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

42) Tom is an official of Large Co., a mining company. Tom is paid by Large Co. to be the company spy in union meetings and make reports about the inner workings of the union. Discuss the legal aspects of this situation.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

43) Jo testifies before the NRLB about the unfair labor practices of Large Co. Large Co. transfers Jo from its plant in Cleveland, Ohio to its plant in Fairbanks, Alaska against her wishes. Discuss the legal aspects of this situation.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

44) Just unionized, Medium Co. has named Erica as its chief negotiator with Large Union in obtaining a contract. Erica wonders what topics are mandatory subjects of collective bargaining. Discuss.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

45) Priscilla, a production manager for the Orange Hope Company, told her supervisor that she was considering joining the company's union. Her supervisor, who did not belong to the union, told Priscilla that he would promote her if she did not join the union, which he described as corrupt. Were the supervisor's actions legal? Explain.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-06 Indicate the primary tenets of the Wagner Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

46) Tom and Cindy are discussing what it means to have a "right-to-work law." Tom says that it means to have no discrimination in employment. Cindy says it means that everyone has a right to unemployment benefits until they find a job that fits their skills and experience. Discuss the accuracy of these comments.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

47) Big Union in fact tells nonunion employees that unless they join the union, Big will make sure that they do not work. Big Union, in fact, tells Small Co. that it could avoid "a lot of problems" if it just refused to promote or grant wage increases to nonunion workers. Discuss this situation.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

48) Big Union is on strike against ABC Construction Co. It asks the employees of XYZ Subcontractor Co. not to unload trucks delivering supplies to ABC Construction Co. building sites. Discuss if this action is lawful.

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Evaluate

AACSB: Reflective Thinking

Accessibility: Keyboard Navigation

49) Perez owned the Lakehurst Milk Company. When he found out that his employees were going to form a union, Perez called a meeting to explain why he was opposed to unionizing Lakehurst. Foster, an employee at Lakehurst, said Perez could not call such a meeting. Was Foster correct? Why or why not?

Difficulty: 3 Hard

Topic: Major Federal Labor Legislation

Learning Objective: 24-07 List the functions of the Taft-Hartley Act.

Bloom's: Evaluate

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation

50) The NLRB makes a rule which allows it to investigate, hold hearings, and issue judgments. Big Co. believes this violates numerous basic U.S. Constitutional provisions, including the separation of powers between branches of government. Big Co. wants to challenge the NLRB in court. Discuss the appeals procedure.

Difficulty: 3 Hard

Topic: The Collective Bargaining Process

Learning Objective: 24-09 Describe the jurisdiction of the National Labor Relations Board.

Bloom's: Analyze

AACSB: Analytical Thinking

Accessibility: Keyboard Navigation