HRCI PHR Practice Test Questions, Exam Dumps

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PHR HRCI Practice Test Questions and Exam Dumps

Question 1

When a union gains recognition from management during an organization effort, management must provide a list to the NLRB of employees who are eligible to vote in the union election. What is the name of this list?

A. Constituent List
B. Union prospectus List
C. Excelsior List
D. Candidate List

Answer: C.

Explanation:
In union organizing efforts, when a union gains recognition from management, the company is required to provide a list of employees who are eligible to vote in the union election. This list is known as the Excelsior List, named after the 1966 National Labor Relations Board (NLRB) decision in the case Excelsior Underwear, Inc. The purpose of the Excelsior List is to ensure that all eligible employees are informed of the union election, allowing for a fair and transparent voting process. This list typically includes the names and addresses of the employees who are eligible to vote in the union election.

The Excelsior List serves to prevent any undue influence or interference in the voting process, allowing both the union and the employer to communicate directly with the eligible voters. It ensures that the employees are aware of the upcoming election and can participate in a manner that is free from manipulation.

The other options listed are incorrect:

A. Constituent List refers to a list of individuals who belong to a particular group or constituency, but it is not specific to union elections.
B. Union Prospectus List does not refer to any recognized term in unionization processes.
D. Candidate List would imply a list of candidates for a position, which is unrelated to the unionization election process.

Therefore, the correct answer is C. Excelsior List.

Question 2

Which of the following is NOT a component of the HR Impact Model, which affects how an HR Professional may operate within a given environment?

A. Consultation
B. Client
C. Catalyst
D. Programs and processes

Correct Answer: C

Explanation:

The HR Impact Model identifies the key components that influence how an HR professional operates within an organization. These components outline the various factors and roles that the HR professional needs to manage in order to deliver the most effective results.

Here is a breakdown of the four key components of the HR Impact Model:

Consultation (A): This component emphasizes the HR professional's role as a consultant within the organization. HR professionals are expected to provide guidance and expertise to management and other stakeholders to help solve problems and address employee issues. As consultants, they advise on HR strategies, processes, and employee relations, ensuring the organization aligns its workforce with its overall goals.
Client (B): The client component refers to the HR professional’s role in serving both internal and external clients. Internal clients include employees, managers, and teams within the organization who rely on HR for services such as recruitment, development, compensation, and employee relations. External clients can include regulatory bodies, external consultants, and service providers. Understanding and meeting the needs of these clients is central to HR’s role in the organization.
Programs and processes (D): This component involves the programs and processes that the HR department implements within the organization. These include recruitment processes, employee development programs, performance management systems, compensation structures, and various compliance-related processes. The HR professional needs to ensure these programs are aligned with organizational goals and are executed efficiently to meet the needs of the workforce.
Catalyst (C): The catalyst component, however, is not typically a formal part of the HR Impact Model. While HR professionals often act as agents of change, the term "catalyst" is not one of the standard components described in the HR Impact Model framework. Instead, the framework focuses more on HR’s roles in consultation, client relationships, and managing programs and processes. In this context, HR can influence change, but the "catalyst" role is not specifically defined as a core component of the HR Impact Model.

Question 3

Holly is a senior worker in her organization and she is a member of the union. Her position will be eliminated in sixty days, and she will be released from the company. Rather than being unemployed, Holly asks the union to move her to a less senior position and release a junior employee. If the union agrees to this,

What will this term be known as?

A. Bumping
B. Displacement
C. Releasing
D. Re-organization

Answer: A.

Explanation:
The situation described is commonly referred to as bumping. In labor union terms, bumping occurs when a more senior employee, whose position is being eliminated or downsized, displaces a junior employee who holds a similar or less senior position. The senior worker "bumps" the junior worker out of their job to retain their employment status. This practice allows the senior employee to continue working in a different role while allowing the organization to lay off the junior employee instead.

In this case, Holly, being a senior worker, requests the union to move her to a less senior position and release a junior employee, which is a classic example of bumping.

The other options are incorrect:

B. Displacement refers to the act of being forced out of a position, but it is not specifically tied to the process of senior workers taking junior positions.
C. Releasing refers to laying off or terminating employees, but it does not specifically describe the process of senior workers displacing junior employees.
D. Re-organization refers to a structural change within the company, which may involve changes in job roles, but it does not specifically refer to the act of senior workers displacing junior ones.

Therefore, the correct answer is A. Bumping.

Question 4

What term is assigned to the resolution of the disagreement, by an arbitrator's interpretation of the language of the contract, in an arbitration process between management and the union?

A. Resolution
B. Interpretation
C. Decision
D. Outcome

Correct Answer: C

Explanation:

In the context of labor relations and collective bargaining, arbitration is a process used to resolve disputes between management and the union, particularly when there are disagreements about the interpretation or application of the collective bargaining agreement (CBA).

During arbitration, a neutral third-party arbitrator is appointed to make a final and binding decision regarding the dispute. The role of the arbitrator is to interpret the language of the contract and provide a resolution based on their interpretation of the contract terms, the facts of the case, and any relevant legal standards.

Let's break down the terms provided in the options:

Resolution (A): While the arbitration process does ultimately aim to provide a resolution to the dispute, the term "resolution" is too general to specifically describe the act of interpreting and deciding on the contractual disagreement. It does not directly refer to the process or outcome of arbitration.
Interpretation (B): "Interpretation" refers to the act of explaining or clarifying the terms of the contract, but it does not describe the final outcome. Interpretation is a key step in the arbitration process, but it is not the term used to describe the final act of resolving the dispute.
Decision (C): This is the correct term. The arbitrator’s final ruling on the dispute is called a decision. The decision is the outcome of the arbitration process, where the arbitrator interprets the contract language and issues a ruling on the matter at hand. The decision is legally binding for both the union and management.
Outcome (D): While "outcome" could refer to the result of the arbitration, it is a more general term and does not specifically address the formal, binding nature of the ruling that an arbitrator provides. "Outcome" lacks the legal precision that "decision" offers in the context of arbitration.

In summary, the term assigned to the resolution of the disagreement by an arbitrator’s interpretation of the contract is C. Decision. The arbitrator’s decision is what ultimately resolves the dispute.

Question 5

As an HR professional, you must be familiar with several different lawsuits and their effect on human resource practices today.

What legal case found that a test that has an adverse impact on a protected class is still lawful as long as the test can be shown to be valid and job-related?

A. Washington versus Davis, 1976
B. Griggs versus Duke Power, 1971
C. McDonnell Douglas Corp. versus Green, 1973
D. Albemarle Paper versus Moody, 1975

Answer: B.

Explanation:
The case Griggs versus Duke Power (1971) is a landmark decision in employment law that addressed the issue of adverse impact in hiring practices. The U.S. Supreme Court ruled that an employment test or selection procedure that disproportionately affects a protected class (such as race, gender, or age) is still lawful only if it can be shown to be valid and job-related. In other words, the employer must demonstrate that the test or criterion is necessary for the successful performance of the job and is not just an arbitrary measure.

This decision played a significant role in shaping disparate impact theory in employment law. It established the principle that even if a hiring test has an adverse impact on certain groups, it could still be considered lawful if it is consistent with business necessity and tied to job performance.

The other options are incorrect for the following reasons:

A. Washington versus Davis, 1976 dealt with the requirement of intent in discriminatory practices under the Equal Protection Clause of the U.S. Constitution, not adverse impact from employment tests.
C. McDonnell Douglas Corp. versus Green, 1973 established the burden of proof framework in disparate treatment cases, but it did not focus on adverse impact from tests.
D. Albemarle Paper versus Moody, 1975 clarified the standards for validating employment tests but did not specifically address the lawful nature of tests with adverse impact, which is the key point of the Griggs case.

Therefore, the correct answer is B. Griggs versus Duke Power, 1971.

Question 6

Under ERISA, which of the following is your organization required to do for the plan participants regarding a retirement benefits plan?

A. Provide each participant with plan information, specifically about the features and funding of the plan through a summary plan description at a cost of no more than $7 per participant, per year.
B. Provide each participant with plan information, specifically about the features and funding of the plan through a summary plan description at no cost.
C. Provide each participant with monthly plan information, specifically about the features and funding of the plan through a summary plan description at no more than $7 per participant, per month.
D. Provide each participant with monthly plan information, specifically about the features and funding of the plan through a summary plan description at no cost.

Correct Answer: B

Explanation:

Under the Employee Retirement Income Security Act (ERISA), employers are required to provide participants in retirement plans with certain critical information about the plan, including details regarding its features, funding, and operations. This information must be clear, comprehensive, and accessible to plan participants to ensure they fully understand their rights and the benefits they are entitled to under the plan.

One of the key components of ERISA is the requirement to distribute a Summary Plan Description (SPD) to each participant. The SPD is a document that outlines the essential features of the retirement benefits plan, including how the plan works, the benefits it provides, the plan's funding sources, and the procedures for filing claims and grievances. ERISA mandates that this document be provided to participants so they are fully informed about their benefits and rights under the plan.

Here’s the breakdown of the options:

Option A (Incorrect): This option suggests charging participants up to $7 per participant, per year for the summary plan description. However, under ERISA, this information must be provided at no cost to the participants. Charging a fee for the SPD would violate ERISA requirements.
Option B (Correct): According to ERISA, the organization is required to provide each participant with a summary plan description at no cost. This ensures that all participants have free access to crucial information about their retirement plan. This is the correct answer based on ERISA’s requirements.
Option C (Incorrect): This option incorrectly suggests that monthly plan information must be provided to participants. ERISA does not require monthly distribution of plan information, nor does it mandate a specific cost per month for this distribution. The SPD must be provided at no cost but typically on a periodic basis (not monthly).
Option D (Incorrect): Like option C, this suggests monthly distributions of plan information, which is not required by ERISA. The SPD should be distributed, but not on a monthly basis, and must be provided at no cost.

In conclusion, the correct answer is B because ERISA requires organizations to provide each participant with a Summary Plan Description at no cost. This ensures that all participants have the necessary information about the plan’s features and funding.

Question 7

Fran is an HR professional for her organization and she is interviewing applicants for a warehouse position. One of the candidates has written on his application that he speaks Spanish. Fran interviews this candidate in Spanish and interviews all other candidates in English.

This is an example of what?

A. Disparate treatment
B. Disparate impact
C. Accommodation
D. Perpetuating past discrimination

Answer: A.

Explanation:
This situation is an example of disparate treatment. Disparate treatment occurs when an individual or group is treated differently based on characteristics such as race, gender, or, in this case, language proficiency. In this scenario, Fran is giving different treatment to the candidate who speaks Spanish by conducting the interview in Spanish while interviewing all other candidates in English. This creates an unequal standard for this one candidate compared to others, which can potentially be viewed as discriminatory if it does not align with the qualifications or job requirements.

To avoid disparate treatment, it is important for employers to ensure that all candidates are evaluated under the same conditions, unless there is a legitimate reason for the difference in treatment, such as testing a skill relevant to the job (in this case, proficiency in Spanish, if it were relevant to the position).

The other options are not applicable here for the following reasons:

B. Disparate impact refers to a situation where an employment practice or policy disproportionately affects a protected class, even if the policy is neutral on its face. In this case, it’s not about a neutral policy affecting a group disproportionately; it’s about the different treatment given to one individual.
C. Accommodation refers to providing adjustments or modifications to enable individuals with disabilities or other needs to fully participate in the workplace. This is not applicable in this scenario.
D. Perpetuating past discrimination involves actions that reinforce or maintain previous discriminatory practices, typically when there is a history of unequal treatment. This situation does not specifically relate to past discrimination but rather the differential treatment given in the current interview process.

Thus, the best answer is A. Disparate treatment.

Question 8

Which of the following is an example of a non-monetary reward that your company provides for its employees?

A. Satisfaction from challenging and exciting assignments
B. Esteem from working with other talented people
C. Cash compensation
D. On-site cafeteria

Correct Answer: A

Explanation:

Non-monetary rewards are those benefits or incentives that do not involve direct financial compensation but can still provide value, motivation, and job satisfaction to employees. These rewards often contribute to the emotional or intrinsic satisfaction of employees and can be a powerful motivator for engagement and retention.

Let’s break down the options:

Option A (Correct): Satisfaction from challenging and exciting assignments is a prime example of a non-monetary reward. Employees who are given stimulating work that aligns with their skills and interests often feel a sense of accomplishment and professional growth. This type of non-financial recognition can increase job satisfaction, engagement, and motivation. When employees are excited about their work and feel challenged, they are more likely to remain productive and committed to their roles.
Option B (Incorrect): Esteem from working with other talented people could be seen as an indirect reward, but it is still related to recognition and personal satisfaction rather than something provided explicitly by the organization as a structured reward. While the opportunity to collaborate with talented peers is valuable and can be fulfilling, it is a more intangible aspect of workplace culture, not a formal, non-monetary reward in the traditional sense.
Option C (Incorrect): Cash compensation is a monetary reward and is directly related to financial compensation such as salary, bonuses, or incentive payments. This is not considered a non-monetary reward.
Option D (Incorrect): An on-site cafeteria is a physical benefit or perk, but it still involves a tangible service that is provided to employees. While convenient, it doesn’t have the same emotional or intrinsic value as non-monetary rewards like challenging assignments or personal recognition.

In conclusion, the best example of a non-monetary reward is A. Satisfaction from challenging and exciting assignments, as it taps into intrinsic motivation and provides a sense of fulfillment, which is a key aspect of non-financial recognition.

Question 9

Your organization will be using the point factor technique in their evaluations of job performance. You need to communicate what the point factor technique accomplishes as you're the HR Professional for your organization.

Which one of the following best describes the point factor technique?

A. Specific compensable factors are identified and then performance levels within the factors are documented.
B. Specific compensable factors are identified and then performance levels within the factors are weighted on importance to the employee.
C. Performance factors are identified by the employee and then performance levels within the factors are weighted based on importance to the organization.
D. Specific compensable factors are identified and then performance levels within the factors are documented. The different factors and levels are weighted.

Answer: D.

Explanation:

The point factor technique is a job evaluation method that involves identifying specific compensable factors (such as skills, effort, responsibility, and working conditions) for a particular job. Each factor is then evaluated and assigned a specific point value based on its importance or contribution to the job. After this, performance levels within those factors are documented, and the factors are weighted according to their significance or impact on the overall job.

A is incorrect because the point factor technique involves weighting the factors according to importance, not just documenting them.
B is incorrect because the point factor technique involves weighting the factors based on job-related importance, not based on the employee’s perspective.
C is incorrect because the employee doesn’t typically identify the performance factors in the point factor method. It is HR or the organization that sets the compensable factors and then evaluates them.

Therefore, D is the correct answer, as it correctly describes the process of identifying factors, documenting performance levels, and weighting the factors according to their importance.

Question 10

What is the FairPay amount that defines what a person makes to be considered highly compensated?

A. $110,000 or more
B. $150,000 or more
C. $100,000 or more
D. $125,000 or more

Correct Answer: B

Explanation:

The term "highly compensated employee" (HCE) is often used in various employment and regulatory contexts, particularly related to the FairPay guidelines under the Fair Labor Standards Act (FLSA). In the context of FLSA and certain benefit plans, a highly compensated employee is defined based on their compensation level.

Let’s break down the options:

Option A (Incorrect): $110,000 or more is an amount sometimes mentioned in different contexts, but it is not the definitive threshold for being classified as a "highly compensated employee" under standard regulations.
Option B (Correct): According to the IRS and FLSA, the amount that defines a "highly compensated employee" in many situations is $150,000 or more. This figure reflects the threshold for determining whether an employee is subject to certain rules or exclusions related to benefits and tax regulations. The IRS and FLSA may adjust this amount over time based on inflation, but $150,000 is the commonly recognized amount as of recent years.
Option C (Incorrect): $100,000 is not typically used as the threshold for defining highly compensated employees in the context of FairPay or FLSA.
Option D (Incorrect): While $125,000 is a significant compensation level, it is not the specific figure defined by the IRS and FLSA for highly compensated employees.

In conclusion, the FairPay amount that qualifies someone as a highly compensated employee is $150,000 or more, making Option B the correct answer.