East Mississippi Community College

ECON 2123

Chapter 39-REGULATION OF EMPLOYMENT

TRUE/FALSE

1)Employment law is based on a combination of contract law and the law established by courts, lawmakers, and administrative agencies.

2. In older cases, the employer-employee relationship was referred to as the master-servant relationship.

3. An employee is hired to work under the control of the employer and the employer-employee relationship requires the consent of both parties.

4. Subject to statutory restrictions, parties are free to make an employment contract on any terms that they wish.

5. Collective bargaining contracts govern the rights of employers and employees only in public sectors of employment.

6. Collective bargaining agreements generally are subject to a ratification vote by the employees.

7. Grievance procedures established in most collective bargaining agreements provide a means by which persons claiming the contract has been violated may have their cases decided by impartial third parties.

8. An employment contract always will state a time or duration for the contract's applicability.

9. If an employment contract provides that an employee can be fired only for "good cause" or "just cause," a lesser standard for discharge such as the employment-at-will doctrine will not be allowed by a court.

10. Public policy exceptions to the employment-at-will doctrine apply only to "whistleblowing" situations.

11. Under the employment-at-will doctrine, the employer has historically been allowed to terminate the employment contract at any time for any reason or for no reason.

12. In some states, a "service-letter" statute requires an employer on request to furnish a discharged employee with a letter stating the reason for the discharge.

13. The duties of an employee are determined primarily by the contract of employment with the employer.

14. Former employees who are competing with their former employer may be enjoined from using information about suppliers and customers that they obtained while employees, even if this information is not of vital importance to the employer’s business.

15. An agreement by an employee to refrain from disclosing trade secrets is binding.

16. An employer has a "shop right" to use an invention of an employee without payment to the employee if the invention was made during working hours with the employer's material and equipment.

17. The rights of an employee with respect to compensation are governed in general by the same principles that apply to the compensation of an agent.

18. The sole issue addressed in the Fair Labor Standards Act is child labor.

19. The right of employees to collectively bargain is guaranteed by the National Labor Relations Act (NLRA).

20. The NLRA does not prohibit discrimination against employees for engaging in union activities, provided that employees are warned of the possible consequences of their union activities.

21. “Permissive” subjects of bargaining include seniority provisions, promotions, layoff and recall provisions, no-strike no-lockout clauses, and grievance procedures.