Question 1

Which entity manages mandatory workers' compensation programs?

Accepted Answer

Workers' compensation programs are managed at the state level in the United States. Each state has its own set of regulations, guidelines, and processes for administering and enforcing workers' compensation laws, though there are some federal regulations that also apply to certain industries and situations. Regional, municipal, and county governments generally do not have a role in managing or administering workers' compensation programs.

Question 2

A worker would most likely be eligible for unemployment if they:

Accepted Answer

To be eligible for unemployment benefits, an individual must be actively looking for work. They must have lost their job through no fault of their own, either by being laid off or their position being eliminated. Quitting voluntarily or being terminated for cause would disqualify them from receiving unemployment benefits. Starting their own business after being terminated would also disqualify them from receiving benefits. Failing to disclose any money earned while claiming unemployment is considered fraud and would lead to disqualification from future benefits, as well as potential legal consequences.

Question 3

Stock incentives, long-term bonuses, and perks are all common _____________ to help the executives act in manners favorable to the firm.

Accepted Answer

The given options refer to methods used to incentivize executives to act in ways that benefit the company. Among these options, the most commonly mentioned are stock incentives and long-term bonuses, which fall under the category of executive incentives. Equity incentives and pay differentials may also be forms of executive incentives, but they are not as commonly used as stock incentives and long-term bonuses. Administration benefits and exit pay programs are not directly related to incentivizing executives to act in ways beneficial to the firm.

Question 4

The insurance program designed to provide medical treatment and temporary payments to employees who cannot work because of an employment-related injury or illness is:

Accepted Answer

Workers' compensation is specifically designed to provide compensation to employees who have suffered from work-related injuries or illnesses. It covers medical treatment, as well as temporary payments to help the employee cover expenses while they are unable to work. Unemployment insurance is designed to provide assistance to individuals who have lost their job, but not due to an employment-related injury or illness. Government disability insurance and Social Security disability may provide coverage for individuals with disabilities, but they are not specifically designed for employment-related injuries or illnesses. Portability option is not relevant to this question.

Question 5

Due to a recession, Lauren was laid off by her organization.To avoid having Lauren and other laid-off workers stop spending money and thus deepen the recession, __________ will help them maintain some income.

Accepted Answer

Unemployment insurance will provide laid-off workers with some income to help them maintain their spending and avoid deepening the recession. Social Security, Medicare, worker's compensation, and leave pay are not designed to assist individuals who have been laid off from their jobs.

Question 6

Whitney earns about $100,000 a year.She and her employer both pay 6.2 percent of Whitney's pay into __________ by withholding the money from Whitney's pay check.

Accepted Answer

Both Whitney and her employer pay 6.2 percent of her pay into Social Security. This is a common practice in the United States, where employees and employers share the responsibility for contributing to Social Security, which provides retirement, disability, and survivor benefits. Medicare, unemployment insurance, retirement, and exit pay are other types of benefits that may be offered by employers, but Social Security is the only option that matches the description given in the question.

Question 7

The Patient Protection and Affordable Care Act of 2010 mandates that companies with at least ______ employees provide health care coverage or face penalties for not providing health insurance.

Accepted Answer

The Patient Protection and Affordable Care Act of 2010 requires companies with at least 50 employees to provide health care coverage or face penalties.

Question 8

Regular FMLA leave is typically associated with __________ leave?

Accepted Answer

Regular FMLA leave is unpaid and lasts for up to 12 weeks. Therefore, the best choice is D - 12 weeks unpaid.

Question 9

FMLA affects companies with __ or more employees within 75 miles of a central location.

Accepted Answer

FMLA affects companies with 50 or more employees within 75 miles of a central location. This is stated in the FMLA regulations.

Question 10

A routine component of executive compensation, common "perks" include all of the following except:

Accepted Answer

Stock options are not considered a "perk" but rather a core component of executive compensation, often designed to align the interests of executives with those of the shareholders by giving them an incentive to increase the company's stock price.

Question 11

Paige was working on a graphic design project for her employer when she cut her hand with scissors and needed stitches.Her employer paid for the doctor's visit to get the stitches under _________.

Accepted Answer

Worker's compensation is a type of insurance that provides benefits to employees who are injured or become ill as a result of their job. In this scenario, Paige was injured while working on a graphic design project for her employer, so her employer would be responsible for providing worker's compensation benefits to cover the cost of her medical treatment. Social Security and Medicare are government-run programs that provide benefits to eligible individuals, but they are not applicable in this situation. Unemployment insurance provides financial assistance to individuals who have lost their jobs through no fault of their own and are actively seeking new employment, so it is not relevant to Paige's injury.

Question 12

Upon completion of FMLA leave, the employee will return to work to:

Accepted Answer

The employee is entitled to return to the same position or a position equivalent in pay, benefits, and other employment terms and conditions, unless the employer can demonstrate that such a position is not available. Therefore, an equivalent position is the best choice.

Question 13

Alfred has requested unpaid leave to care for his wife.She was injured while serving in the army in Afghanistan.Alfred may be able to take this leave and return to his original job (or an equivalent one) under ________.

Accepted Answer

The Family and Medical Leave Act (FMLA) allows eligible employees to take up to 12 weeks of unpaid leave per year for certain family or medical situations, including caring for a spouse with a serious health condition. The employee is entitled to return to his or her original job or an equivalent one after the leave period ends. None of the other options listed provide this type of leave or job protection.

Question 14

Worker's compensation insurance rates are determined by all factors EXCEPT:

Accepted Answer

Worker's compensation insurance rates are determined by the risk of occupation, the frequency and severity of past claims, and the level of benefit payable based on state regulations. Past judge and jury awards to victims would not be a factor in determining rates as they are not under the control of the insurance company.

Question 15

A(n) __________ would be used to measure how often claims are made against a workers' compensation insurance policy.

Accepted Answer

Experience rating is a method used by insurance companies to adjust the premium of a workers' compensation insurance policy based on the claims history of the employer. It measures how often claims are made against the policy and adjusts the premium accordingly.

Question 16

Social Security includes all the following EXCEPT:

Accepted Answer

Workers' compensation is a separate program from Social Security that provides benefits to workers who are injured or become ill as a result of their job.

Question 17

Matthew has just had a child placed in his foster care.He has requested unpaid leave to care for the child.Matthew may be able to take this leave and return to his original job (or an equivalent one) under ________.

Accepted Answer

The Family and Medical Leave Act (FMLA) provides eligible employees with up to 12 weeks of unpaid leave per year for specified family and medical reasons, including the placement of a child in foster care. Upon return from FMLA leave, employees are entitled to be restored to their original job or to an equivalent one with equivalent pay, benefits, and other terms and conditions of employment. Social Security, the Affordable Care Act, Medicare, and high-deductible health plans do not provide this type of leave or job protection.

Question 18

_______________ placed some significant limits on executive pay in public corporations and added new requirements for both reporting of compensation and of shareholder involvement with executive compensation.

Accepted Answer

The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 placed significant limits on executive pay in public corporations and added new requirements for both reporting of compensation and shareholder involvement with executive compensation. This act was passed in response to the 2008 financial crisis and aimed to increase transparency and accountability in the financial sector. The other answer choices do not accurately describe the act that placed significant limits on executive pay in public corporations and added new requirements for reporting of compensation and shareholder involvement with executive compensation.

Question 19

FMLA leave, when associated with care of a service member, is allowed for as many as ____ workweeks in a 12-month period.

Accepted Answer

FMLA leave for care of a service member allows for up to 26 workweeks of leave in a 12-month period.

Question 20

Gainsharing plans are:

Accepted Answer

Gainsharing plans are based on any organizational factor that can have its costs calculated, where a share of the gain is provided to employees. Profit sharing plans, on the other hand, are usually based on the overall profitability of the organization. Therefore, option A is incorrect. Option C refers to an employee stock ownership plan, which is different from gainsharing. Option D is not a correct description of gainsharing plans. Option E is not an accurate representation of gainsharing plans, as they are not related to individual weight gain or loss.

Quiz 11: Employee Incentives and Benefits