Herb is the HR Professional for his organization. He is preparing to hire a new employee, Hans, to the firm. Herb has asked Hans to agree, in writing, to mandatory arbitration as part of the employment offer. What does this agreement mean?
- It means that Hans cannot work for competitors without the written permission of the employer.
- It means that Herb's firm can research Hans to determine if he's had any lawsuits.
- It means that Hans must file all legal complaints with the organization's attorney, before filing a lawsuit against the organization.
- It means that Hans and the organization must settle all disputes, if any arise, through a neutral third party rather than through a lawsuit.
Answer(s): D
Reference:
PHR Exam Prep, Pearson Education, ISBN: 978-0-7897-3677-2. Chapter Seven:
Employee and Labor Relations. Official PHR and SPHR Certification Guide, HR Certification Institute, ISBN: 978-1-586-44149-4, Section III, The US HR Body of Knowledge.
Chapter: Employee and Labor Relations
Objective: Dispute Resolution
Reveal Solution Next Question