Chapter 02 Legal Compliance

1. The employer-employee relationship is the most prevalent type of employment relationship.
True False

2. Employment contracts may be written but not in oral form.
True False

3. The specificity of the language used in an employment contract must be very extensive.
True False

4. The formal agreement which specifies the employment terms and conditions for the employee and employer is called an employment contract.
True False

5. An employer does not incur any legal responsibilities or liabilities regarding its employees.
True False

6. The common law principle of employment-at-will says that, in the absence of any contract language to the contrary, either the employer or employee may terminate the employment relationship at any time, but only for certain reasons.
True False

7. There are some restrictions on employment-at-will, such as statutory requirements for nondiscriminatory termination.
True False

8. An independent contractor is legally considered an employee of the employer who hired him/her.
True False

9. If an employer hires an independent contractor, it may reduce the employer’s exposure to laws and regulations governing the employment relationship.
True False

10. A person is more likely to be considered an independent contractor if they work without supervision or oversight from the employer.
True False

11. Temporary employees are considered to be employees of the temporary help agency that obtained them through its own staffing process.
True False

12. Court cases suggest that permatemps (employees from a staffing agency who have been with the employer for extended period of time) are still exclusively considered employees of the staffing agency.
True False