Download SHRM-CP FINAL EXAM PREP | Actual Questions And Answers Latest Updated 2024/2025 (Graded A+ and more Exams Law in PDF only on Docsity!
SHRM-CP FINAL EXAM PREP | Actual Questions And Answers Latest
Updated 2024/2025 (Graded A+)
Statutes - ✔✔hard, fast laws that are created by the government Regulations - ✔✔Created by agencies Example of Executive Order - ✔✔dropping convictions of small drug infractions Who can create an Executive Order? - ✔✔The President of the United States Common Law - ✔✔how laws are interpreted Example of Common Law - ✔✔in 1962, a man can sexually harass a woman and there were no laws surrounding that. In 1964, congress created the Civil Rights Act of 1964, to say sexually assaulting a woman was illegal. This had to be between a man and woman at the time because same sex sexual harassment was impossible What does EPLI stand for? - ✔✔Employment Practices Liability Insurance Employment practices liability insurance (EPLI) - ✔✔- Protects against the risk of heavy financial losses resulting from employment claims and lawsuits
- Must be carefully considered and reviewed to ensure that it provides the level of protection needed What is the benefit of an HR audit? - ✔✔To check compliance issues and to check if we are in compliance Attorney-Client Privilege - ✔✔right of individual to have discussions with his/her attorney kept private and confidential
discoverability rule - ✔✔a rule that allows plaintiffs to sue outside the limitation period where the information needed to support a suit was unavailable within that period What does IRCA stand for? - ✔✔(Immigration Reform and Control Act) IRCA (Immigration Reform and Control Act) - ✔✔federal law passed in 1986 that enlists employers in the effort to prevent illegal aliens from working in this country. Required all employers to have all employees hired after 1986 complete I-9 verification paperwork. What does a VISA do? - ✔✔Visas authorize someone to work in the United States that is not from here. It allows work authorization DACA - ✔✔program that allowed children of undocumented workers to stay in the US Employment at Will - ✔✔employment principle that if there is no specific employment contract saying otherwise, the employer or employee may end an employment relationship at any time, regardless of cause Fair Credit Reporting Act (FCRA) - ✔✔U.S act that protects privacy of background information and ensures that information supplied is accurate. Why we have to ask for permission to pull someone's credit Credit Report - ✔✔a report on a person's creditworthiness that includes identifying information, credit cards, late payments, bankruptcies, and savings balances When can you pull a credit report without permission? - ✔✔Example: If you are missing money, you can pull the credit report without permission as long as it is through a 3rd party. Equal Opportunity - ✔✔the right to equivalent opportunities for employment regardless of race, color, sex, national origin, or any other protected class
Retaliation - ✔✔-The most difficult construct for managers to wrap their heads around and the easiest thing to occur in a workplace
- the easiest form of discrimination to prove Title 7 of the Civil Rights Act of 1964 - ✔✔Banned discrimination in employment on the basis of race, color, religion, sex or national origin. What does Title 7 do? - ✔✔Talks about hiring practices but also have to look at recruiting efforts and advancements. This means we have to give equal opportunity to everyone to learn and grow. Title 7 Exceptions (when we can discriminate) - ✔✔- Work related requirements
- Bona Fide seniority systems
- Bona Fide Occupational Qualification (BFOQ) ; meaning you can have a very special person for what you need
- Affirmative action plan
Example of BFOQ - ✔✔Hiring a female attendant in a woman's dressing room, but can't do that for the team that comes in to clean the dressing rooms after everyone has gone home. - ✔✔ Pregnancy Discrimination Act - ✔✔U.S. act that prohibits discrimination on the basis of pregnancy, childbirth, or related medical conditions. adverse impact - ✔✔Unintentional discrimination that occurs when members of a particular race, sex, or ethnic group are unintentionally harmed or disadvantaged because they are hired, promoted, or trained (or any other employment decision) at substantially lower rates than others. The discrimination is unintentional. Civil Rights Act of 1991 - ✔✔In 1964, and act was passed that gave the power to an employer. In 1991, there was a dynamic shift and the power went from the employer to the employee. Employees could
get a jury trial. If the employee won, then they could get back pay and punitive damages, where you were only previously able to get back pay in 1964. VEVRAA - Vietnam Era Vets Readjustment Assistance Act (1974) - ✔✔a law that prohibits federal contractors and subcontractors from discriminating in employment against protected veterans and requires employers take affirmative action to recruit, hire, promote, and retain these individuals. Age Discrimination in Employment Act - ✔✔Act that prohibits discrimination in employment for persons age 40 and over except where age is a bona fide occupational qualification. ERISA (Employee Retirement Income Security Act) - ✔✔a federal act designed to prevent fraud and other abuses associated with private pension funds. Happened because of the Enron scandal. This also protects whistle blowers. COBRA - ✔✔Consolidated Omnibus Budget Reconciliation Act; law to provide terminated employees or those who lose insurance coverage because of reduced work to be able to buy group insurance for themselves and their families for a limited amount of time. What would extend someones COBRA eligibility? - ✔✔- Disability
- Divorce (30 months total)
- Death (36 months total) USERRA (Uniformed Services Employment and Reemployment Rights Act) - ✔✔protects military service members and veterans from employment discrimination on the basis of their service, and allows them to regain their civilian jobs following a period of uniformed service. OSHA (Occupational Safety and Health Administration) - ✔✔rules that describe the methods that employers must use to protect their employees from hazards. when are you required to have a drug free workplace? - ✔✔When you have a federal contract over $100K, regardless of what state laws say
Environmental Scanning - ✔✔collection and interpretation of information about forces, events, and relationships in the external environment that may affect the future of the organization or the implementation of the marketing plan. You need to be aware of what is to come. Can do a PESTLE analysis What is PESTLE analysis used for? - ✔✔Allows us to analyze the external environment of an organization/company/business. Understanding your political analysis. What does PESTLE stand for? - ✔✔P - political E - economic S - social T - technological L - legal E - environmental What is a SWOT analysis? - ✔✔analysis of strengths, weaknesses, opportunities, and threats Growth-share matrix - ✔✔A portfolio method that evaluates a company's strategic business units in terms of their market growth rate and relative market share. SBUs are classified as stars, cash cows, question marks, or dogs. Boston Matrix - Question Marks - ✔✔Products which hold low market share in fast growing markets consuming large amount of cash and incurring losses. Boston Matrix - Stars - ✔✔very successful products growth has to be funded to keep with demand cash flow may be a problem high market share high market growth high profit
Boston Matrix - Dogs - ✔✔LOW market share LOW market growth little or no profit Boston Matrix - Cash Cows - ✔✔- High market share, low market growth
- An established & profitable product that can support others Scenario Analysis - ✔✔an in-depth approach to environmental forecasting that involves experts' detailed assessments of societal trends, economics, politics, technology, or other dimensions of the external environment What part of the SWOT analysis is internal? - ✔✔strengths and weaknesses what part of the SWOT analysis is external? - ✔✔opportunities and threats Mission Statement - ✔✔a broad description of a company's objectives and the scope of activities it plans to undertake. Why a company exists. Defines the purpose. Vision statement - ✔✔a one-sentence or one-phrase statement that describes the long term desired change stemming from the efforts of an organization or program. What we aspire to be Value - ✔✔expresses what the company stands for, its core priorities, the values its employees embody, and what its products contribute to the world. What is important to take on our journey KPI (Key Performance Indicator) - ✔✔A financial or non-financial measure that is used to define and assess progress toward specific organizational goals and typically is tied to an organization's strategy and business stakeholders. This should not be contradictory to other departmental or strategic business unit performance measures. SMARTER goals - ✔✔Specific
Analytic - ✔✔12 different metrics. We may be able to predict analytics. There are multiple metrics that allow for a predictive analysis curricula vitae - ✔✔is a document that talks about accomplishments and credentials. More widely accepted world wide. Resume - ✔✔(n.) a brief summary; a short written account of one's education, working experience, or qualifications for a job. A shorter version of a CV. Orinetation - ✔✔a few hours or days to make a person an employee. Walk them through orientation On-boarding - ✔✔takes longer than orientation. Begins when an employee is recruited to when they are functional in their job. Can be integrated with the team. Stay interviews (People) - ✔✔[Structured conversations with employees for the purpose of determining which aspects of a job (e.g., satisfaction, engagement, culture, organization, leadership, etc.) encourage employee retention, or may be improved to do so. True or False: Employees will feel engaged in their job if they feel like they are a good fit for the role - ✔✔True Job rotation - ✔✔is held for the executive suite. Used as an observation method. job enlargement - ✔✔broadening the types of tasks performed in a job. Is volume or more of the same. More work but a new skillset is not needed Example of job enlargement - ✔✔Have three people in the same role and one retires. The other two remaining employees get the remaining duties, which is the same stuff they were already doing, there is just more of it. They do this for more money.
Job Enrichment - ✔✔requires employee to develop a different skill set. Giving employees a task that expands their skill set Example of Job Enrichment - ✔✔En executive assistant has been observing their boss doing a report for a few months and noticed some trends. The EA then mentions to their boss about these trends. Going forward, the boss will delegate the report to the EA, as she was able to gain a different skill set in order to be able to complete the report on her own. What two major focuses do we look at for performance standards? - ✔✔- Results and behaviors
- It's not just about the results we're after, it's also about how we got there. Performance Appraisal Approach - ✔✔- Category Rating
- Comparative
- Narrative Behavioral Anchored Rating Scale (BARS) - ✔✔method of performance measurement that rates behavior in terms of a scale showing specific statements of behavior that describe different levels of performance. There are no numbers. MBO (management by objectives) - ✔✔A system of goal setting and implementation; it involves a cycle of discussion, review, and evaluation of objectives among top and middle-level managers, supervisors, and employees in a cascading effect. (from top to bottom). Takes strategic goals, figures out how to get it done, and that is how you create your objectives appraisal meeting - ✔✔performance review meeting What is the best way to teach your staff diversity? - ✔✔Encouraging them to travel Talent Retention - ✔✔The retention of key talent, those employees who are the strongest performers, have high potential, or are in critical jobs.. Keeps employees inside the organization.
Benefits - ✔✔tangible payments or services provided to broad groups of employees to cover common issues. EX. PTO Comp - ✔✔all financial returns including salaries and allowances. perquisites - ✔✔"perks", benefits and privileges What is the benefit of a compensation philsophy? - ✔✔Adds transparency to your pay system and increases employee engagement Pay strategy - ✔✔explanation of how pay decisions relate to the organization's objectives Finance - ✔✔looks at today and projects tomorrow Accounting - ✔✔accounts payable and accounts receivable Aging - ✔✔uses movement in market rates to adjust outdated salary data Example of Aging - ✔✔We bought data that is one year old today. Is wrong because of the inflation. Add cost of living or amount of inflation based on the time period that has lapsed. Leveling - ✔✔adjust salaries when surveys jobs are similar but not identical to jobs in the organization Example of leveling - ✔✔This job has 7 components that are well thought out. Same job, but only. has 4 of the 7 components, Will pull a percentage off of the job since they don't have all 7 components. Their pay could be more if they have all 7 eventually or more. Compa-ratio - ✔✔Pay rate divided by the midpoint of the pay range.
Restricted Stock Grant - ✔✔people give someone stock, but they have an amount of time where they can't sell the stock. Ideally, the person will work harder to make the stock more valuable since they can't sell it for a specified period of time. perquisites (perks) - ✔✔The extra things you get after all the things you are required to get have been given to you. Ex. PTO, sick leave, bereavement leave. Red-circle rates - ✔✔Situations in which employees' pay is above the range maximum. Green-circle rates - ✔✔Situations in which an employee's pay is below the minimum of the range. Pay compression - ✔✔Occurs when there is only a small difference in pay between employees regardless of their experience, skills, level, or seniority; also known as salary compression. Who is at highest risk of leaving an organization? A. Red Circle B. Green Circle - ✔✔Green circle because you can go anywhere else and get paid more since they are below the market What are the laws for severance offers for people over 40? - ✔✔Must be given 21 days to consider an offer and once accepted, they have 7 days to rescind their decision defined benefit plan - ✔✔a public pension like or federal government type of plan where there is an investing period of 20-30 years and you get paid for life by formula. Investment risk is on the employer. You have to insure people for life under ERISA standards. This is the most expensive option. defined contribution plan - ✔✔retirement plan in which the employer sets up an individual account for each employee and specifies the size of the investment into that account. For example, a 401k. Risk of investment is on the employee.
RACI - Consulted - ✔✔"In The Loop" The individuals to be consulted prior to reaching a final decision or taking a final action. This person may offer advice and/or opinion, but cannot be held responsible, accountable, or liable for the outcome. This person makes no decisions. RACI - Informed - ✔✔"Kept In The Picture" The individuals who need to be informed of a decision or action. The communication may occur before or after the action is taken. This person has to make a decision as a result of the outcome of the action taken by the team. Tuckman's Team Development Model - ✔✔forming, storming, norming, performing Tuckman's Forming Stage - ✔✔getting oriented to the team goals and each other, finding out what the tasks are, and who they will be working with Tuckman's Storming Stage - ✔✔Intragroup conflict where there are attempts of dominance, passive aggressive behavior along with information withholding, and other forms of resistance to team tasks and goals. characterized by pushing boundaries, high tensions between group members Tuckman's Norming Stage - ✔✔participants develop trust in one another and the leader and avoid conflict as they focus on the task at hand Tuckman's Performing Stage - ✔✔Looking at the work at hand but having opening dialogue with one another, and sharing information to accomplish the teams goals. Groups reach their peak performance level in this stage Solution Analysis (workforce planning) - ✔✔Focuses on how to tackle gaps in current and future staffing needs through recruiting, training and development, contingent staffing, or outsourcing Solution Analysis 4 B's - ✔✔Build Buy Borrow Bridge
Solution Analysis - Build - ✔✔redeploy. Train and develop Solution Analysis - Buy - ✔✔recruit and hire Solution Analysis - Borrow - ✔✔outsource, lease, or contract Solution Analysis - Bridge - ✔✔provide training to enhance employee value. This is temporary. Could be an interim leader. Ex. When I bridged the gab for HR when some people on our team were let go. Someone is able to cover you while you are going through a process or an issue. Is the most temporary Professional Employer Organization (PEO) - ✔✔A business entity that co-employs the employees of its clients and typically assumes responsibility for all human resource management functions. ex. A staffing agency Alternative Dispute Resolution (ADR) - ✔✔The resolution of disputes in ways other than those involved in the traditional judicial process. Negotiation, mediation, and arbitration are forms of ADR. ADR: Negotiation - ✔✔Parties meet INFORMALLY with or without their attorneys and attempt to agree on a RESOLUTION ADR: Mediation - ✔✔A neutral third party meets with the parties and emphasizes points of agreement to bring them toward resolution of their dispute. Like marriage counseling. Hoping to find a reasonable middle ground ADR: Arbitration - ✔✔The parties present their arguments and evidence before an arbitrator at a hearing, and the arbitrator renders a decision resolving the parties' dispute. Like divorce court.. You say your side, I say my side and a arbitrator rules in one person's favor. There is no middle ground.
Pull example: There are a lot of airports being constructed in China right now. This caused steel and concrete companies to do a lot of business in China. They were pulled there ethonocentric - ✔✔believing in the superiority of one's own ethnic and cultural group, and having a corresponding disdain for all other groups. When in Rome, do it the New York way Polycentric - ✔✔The belief that locals of the host country know their culture better and should run a business accordingly. When in Rome, do it the Roman way Regiocentric - ✔✔A philosophy of management whereby the firm tries to blend its own interests with those of the subsidiaries on a regional basis. When it Rome, do it the Italian way or Western European way Geocentric - ✔✔Usually has one global way that is superior. When in Rome, do it the Global way. Outsource - ✔✔Giving away part of the work offshore - ✔✔a local organization that is located or based in a foreign country. Not giving it away, we are taking the work somewhere else. Onshoring - ✔✔Relocation of business processes or production to a lower-cost location inside the same country as the business. Bringing an entity that was offshore, back home again. Near-shoring - ✔✔Practice of contracting a part of business processes or production to an external company in a country that is relatively close (e.g., within the same own region).
Example of Near Shoring - ✔✔There was a large factory in Detroit, MI, which is very close to the Canadian border. People from Canada would commute to Detroit daily and people from Detroit would commute to Canada. A company could open up a plant in Canada while still being based in Detroit as well, and they would still have the same employees in both places, but they would not have to commute anymore. Globalists - ✔✔Spend their entire careers in international assignments, moving from one locale to another host-country nationals - ✔✔Employees who are natives of the host country. Employees who live in the country we operate in, we hire and train them, then we can bring our experts home. Short-term assignees - ✔✔On assignment for less than a year but more than a few weeks, often without moving the family International assignees - ✔✔Traditional expatriates on full relocation assignments lasting from one to three years commuters - ✔✔people who travel across country borders to and from work regularly Just-in-time expatriates - ✔✔Ad hoc or contract workers hired for a single assignment Traditional expatriates - ✔✔when workers are citizens in the US and they take on an international assignment. They are patriates to the US. When we move them outside of the US, they are expatriates. When they decide to come back, we repatriate them. When is the appropriate time to plan for an expatriates return? A. When their assignment is complete B. 6 months before their assignment is complete C. One year before their assignment is complete D. Before they ever leave - ✔✔D
