PHRca Employee Relations and Terminations 3 — Questions and Answers
Question 1: Constructive discharge in California occurs when:
- An employer reduces an employee's hours below full-time status
- Working conditions are made so intolerable that a reasonable person would feel compelled to resign (Correct answer)
- An employer fails to provide mandatory rest breaks
- An employee is transferred to a different department without consent
Correct answer: Working conditions are made so intolerable that a reasonable person would feel compelled to resign
Constructive discharge is recognized in California when an employer intentionally creates or knowingly permits intolerable working conditions that force a reasonable employee to resign.
Question 2: California's whistleblower protection statute, Labor Code Section 1102.5, protects employees who report:
- Only violations of federal law to federal agencies
- Violations of law to a government or law enforcement agency, or internally to a supervisor (Correct answer)
- Only safety violations to Cal/OSHA
- Violations reported exclusively in writing
Correct answer: Violations of law to a government or law enforcement agency, or internally to a supervisor
Labor Code Section 1102.5 broadly protects employees who disclose reasonably believed violations of law to government agencies, law enforcement, or internally to supervisors or management.
Question 3: Non-compete agreements signed by California employees are generally:
- Enforceable if limited to 12 months and a reasonable geographic area
- Enforceable only for executive-level employees
- Void and unenforceable under Business and Professions Code Section 16600 (Correct answer)
- Enforceable only when paired with a severance payment
Correct answer: Void and unenforceable under Business and Professions Code Section 16600
California Business and Professions Code Section 16600 voids non-compete agreements except for very narrow statutory exceptions such as the sale of a business.
Question 4: When conducting a termination meeting, which practice best protects the employer from potential legal claims?
- Conducting the meeting on a Friday afternoon to minimize workplace disruption
- Having a witness present and providing a clear, documented, consistent reason for termination (Correct answer)
- Offering a severance package contingent on signing a non-disparagement agreement immediately
- Informing the employee's coworkers simultaneously to maintain transparency
Correct answer: Having a witness present and providing a clear, documented, consistent reason for termination
Having a witness and providing a consistent, well-documented reason prevents changing stories later and demonstrates good-faith business decisions.
Question 5: Under FEHA, California employers must engage in the 'interactive process' with an employee who requests an accommodation. Failure to do so may result in:
- A WARN Act violation
- An independent cause of action for failure to engage in the interactive process (Correct answer)
- Automatic termination of FMLA leave rights
- Civil penalties under Labor Code Section 226
Correct answer: An independent cause of action for failure to engage in the interactive process
California's FEHA creates an independent cause of action for failure to engage in a timely, good-faith interactive process to determine effective reasonable accommodations.
Question 6: Which federal law requires employers to provide continuation health coverage notices at the time of a qualifying event such as termination?
- HIPAA
- ERISA
- COBRA (Correct answer)
- ACA
Correct answer: COBRA
COBRA (Consolidated Omnibus Budget Reconciliation Act) requires employers with 20+ employees to offer continuation coverage and provide timely election notices upon qualifying events including termination.
Question 7: An employer in California wants to conduct a reduction in force (RIF). Which action best reduces legal risk?
- Eliminating the most recently hired employees first using a strict LIFO policy
- Performing an adverse impact analysis to ensure the selection criteria do not disproportionately affect protected classes (Correct answer)
- Offering voluntary separation packages only to employees over age 50
- Selecting employees based solely on manager discretion without documented criteria
Correct answer: Performing an adverse impact analysis to ensure the selection criteria do not disproportionately affect protected classes
An adverse impact analysis under disparate impact theory helps identify and correct selection criteria that may disproportionately eliminate protected class members, reducing discrimination exposure.
PHRca Employee Relations and Terminations 3
Constructive discharge in California occurs when: