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According to one of the top management consultants of the past 40 years,the late Peter Drucker:


A) top executives are entitled to any level of pay they can negotiate with their board of directors.
B) the annual pay for top executives should include a small guaranteed salary and should include a very large bonus in years where the firm earns higher profits than competitors.
C) all bonuses paid to CEOs should be tied to long-run increases in market share.
D) CEOs should not earn much more than 20 times the earnings of the company's lowest-paid employee.

E) A) and B)
F) A) and C)

Correct Answer

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The Taft-Hartley Act:


A) established the first minimum wage.
B) allowed individual states to pass right-to-work laws prohibiting compulsory union membership.
C) required management to bargain in good faith with union representatives.
D) set up the process by which unions could be recognized as the exclusive bargaining agents for a group of workers.

E) A) and B)
F) B) and D)

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The ______________ was established by the Wagner Act to oversee labor-management relations.


A) Federal Trade Commission
B) Commission on Labor Relations
C) National Labor Relations Board
D) Equal Employment Opportunity Commission

E) B) and C)
F) A) and B)

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Union membership is likely to rise in the coming decade,because the same economic and political conditions that gave rise to unions in the late 19th and early 20th centuries are now reappearing.

A) True
B) False

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The NLRB (National Labor Relations Board) consists of:


A) a five member panel appointed by the U.S.president.
B) an eight or ten member board consisting of an equal representation of union officials and management personnel.
C) two large unions: the AFL and the CIO.
D) a congressional committee.

E) B) and C)
F) A) and D)

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Under the Wagner Act,the National Labor Relations Board can establish a labor union in an organization if it finds evidence of substantial labor abuse within that organization.

A) True
B) False

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The Knights of Labor was the first truly national labor organization in the United States.

A) True
B) False

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Today labor unions have seen a revitalization of support and union membership has increased significantly.

A) True
B) False

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Employees were striking at the London Met University last year.Very few students were crossing the picket line.In fact,the city's postal employees refused to deliver mail there claiming that they were honoring the strike for their fellow service union members.The Postal employees were participating in a voluntary secondary boycott.

A) True
B) False

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Geraldo works on the assembly line for a major automobile manufacturer.He was hired for the job without any specific training or skill.Geraldo joined a union with other assembly-line workers who perform a variety of jobs that do not require a highly specialized skill.Geraldo belongs to a(n) :


A) industrial union.
B) craft union.
C) assembly union.
D) traditional union.

E) B) and D)
F) All of the above

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_________ sexual harassment refers to situations in which an employee's submission to unwanted conduct is made either explicitly or implicitly a term or condition of employment or is used to influence employment decisions affecting the worker's job status.


A) Quid pro quo
B) Post hoc
C) Ceteris paribus
D) Reflexive

E) B) and C)
F) All of the above

Correct Answer

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In its early years,the AFL's strategy was to:


A) grow as rapidly as possible by allowing people from all professions and walks of life to join.
B) limit its membership to skilled craftspeople.
C) limit its membership to unskilled and semiskilled workers.
D) form one big craft union which everyone could join;but it later split into several smaller organizations.

E) A) and D)
F) A) and C)

Correct Answer

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A union that consists of members who are all skilled specialists in a particular trade is called an industrial guild.

A) True
B) False

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For 20 years,the CIO was a major rival of the AFL in the contest for leadership of the labor movement.

A) True
B) False

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Which of the following statements about collective bargaining is most consistent with the views of Samuel Gompers?


A) Collective bargaining is the best way for workers to attain a fairer share of the economic pie.
B) Collective bargaining is a nice idea in theory,but in the real world unions must rely on weapons such as strikes and boycotts to get what they want.
C) Unions should view collective bargaining as a useful,but limited,means for achieving some of their goals.In most cases the best way for unions to achieve their goals is to use their political clout to help pass favorable legislation.
D) Unions should not count on collective bargaining to achieve their goals,because management can't be trusted to bargain in good faith.

E) A) and B)
F) B) and C)

Correct Answer

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Robert and Jenny are co-workers who enjoy flirting with each other while at work.They both view their actions as harmless fun,as do the other employees in their office.Their flirtation does not offend the other workers or make them feel threatened or uncomfortable.Nevertheless,under current criteria,both Jenny and Robert could be found guilty of sexual harassment.

A) True
B) False

Correct Answer

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A grievance is a charge by managers that the union is not abiding by the terms of the negotiated labor-management agreement.

A) True
B) False

Correct Answer

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The _________ Act established the National Labor Relations Board.


A) Wagner
B) Taft-Hartley
C) Norris-LaGuardia
D) Fair Labor Standards

E) C) and D)
F) B) and C)

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A key difference between a mediator and an arbitrator is that:


A) a mediator is appointed by labor and management,while an arbitrator is appointed by the federal government under terms set forth in the Taft-Hartley Act.
B) a mediator is an unpaid volunteer,while an arbitrator is a paid professional.
C) an arbitrator can settle a labor-management dispute by rendering a binding decision,while a mediator can only make suggestions and encourage the two sides in a dispute to continue negotiating.
D) a mediator is a lawyer who represents either labor or management in a labor dispute,while an arbitrator is an impartial advisor who listens to both sides of the dispute and offers suggestions that help the two parties reach a mutually acceptable agreement.

E) A) and B)
F) None of the above

Correct Answer

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The __________ was set up as a federation of many separate craft unions.


A) Knights of Labor
B) Committee of Industrial Organizations
C) League of Unions
D) American Federation of Labor (AFL)

E) A) and C)
F) A) and B)

Correct Answer

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