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  1. Home
  2. SHRM Certification
  3. SHRM-CP Exam
  4. SHRM.SHRM-CP.v2023-07-24.q161 Dumps
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Question 61

The Greendale Company is thinking about adjusting its executive compensation package. There is some concern, however, that the new program will adversely affect the company's tax burden. The Greendale Company should ask the IRS for a(n)

Correct Answer: C
Explanation: The Greendale Company should ask the IRS for a private letter ruling. Private letter rulings are a courtesy provided by the Internal Revenue Service. When a company is uncertain about the tax implications of a proposed change, it may submit the details to the IRS and receive an estimate. In the long run, the effort expended by the IRS on private letter rulings obviates the need for more work cleaning up unanticipated messes.
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Question 62

A private company works as a contractor for federal defense agency. As a result of this agreement, many of the contractor employees will be engaging in positions of extreme sensitivity, and the contractor would like to give polygraph tests to employees. What is the federal policy regarding polygraph tests in this situation?

Correct Answer: E
Explanation: Polygraph tests are allowed among federal defense contractors but may only be administered to those who will be working in the defenserelated jobs. Most large contractors will not limit their contract work to the government, so it is entirely possible that the company will have employees doing work that is unrelated to the defense jobs. What is more, the employees who do work in connection with the defense agency but do not necessarily do sensitive work will not require polygraph testing. As a result, answer choice A is incorrect because there is no justification for testing all employees of the contractor. Answer choice B is incorrect because federal law does allow for polygraph testing in certain situations. Answer choice C is incorrect because it does not really address the question and because the information is not accuratepolygraph tests must be administered by certified professionals. Answer choice D is also incorrect because the nature of the contractor's work for the defense agency will likely justify polygraph testing for many of the employees.
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Question 63

A labor union has recently been created at a company that manufactures heavy industrial equipment. Before negotiations can begin, the company chooses freely to acknowledge the union as the primary bargaining union for employees. In the meantime, the labor union has upcoming union elections to consider. Due to the company's decision, which of the following types of union election bars would result?

Correct Answer: C
Explanation: The employer's decision is voluntary, and thus a voluntaryrecognition election bar will result, preventing the labor union from conducting elections in the immediate future. A priorpetition bar results when the union withdraws an election request petition and then resubmits it. A certificationyear bar results when the NLRB has recently recognized and certified a representative for bargaining on behalf of the union. A blockingcharge bar occurs when an unfair labor practice charge remains pending.
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Question 64

What was the primary directive of the Worker Adjustment and Retraining Notification Act?

Correct Answer: D
Explanation: The Worker Adjustment and Retraining Notification Act stipulates that employers with more than a hundred employees must provide at least sixty days notice to workers and unions before closing a factory or plant. This legislation is generally referred to as the WARN Act. Its intention was not only to alert employees, but to enable the federal government to assist in the retraining of the soontobedisplaced workers.
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Question 65

All of the following are part of the Fair Labor Standards Act except:

Correct Answer: E
Explanation: The McNamaraO'Hara Service Contract Act (1965) covers federal service contracts, but the Fair Labor Standards Act does not. The Fair Labor Standards Act does, however, cover minimum wage requirements, exemption conditions for employees, work conditions for children under 18, and overtime. As a result, answer choices A, B, C, and D are all incorrect.
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