PHR · Question #103
Which of the following is a process that occurs due to mergers, outsourcing or changing business needs?
The correct answer is A. Involuntary exit. Involuntary exits are employer-initiated separations that result from organizational decisions such as mergers, outsourcing, or shifting business needs, rather than from employee choice.
Question
Which of the following is a process that occurs due to mergers, outsourcing or changing business needs?
Options
- AInvoluntary exit
- BPlant closing
- CVoluntarily exit
- DOutplacement
How the community answered
(29 responses)- A83% (24)
- B3% (1)
- C10% (3)
- D3% (1)
Why each option
Involuntary exits are employer-initiated separations that result from organizational decisions such as mergers, outsourcing, or shifting business needs, rather than from employee choice.
An involuntary exit occurs when the organization - not the employee - initiates the separation, typically driven by structural changes like mergers, acquisitions, outsourcing arrangements, or evolving business requirements. Because the separation is organization-driven rather than employee-driven, it fits the definition of an involuntary exit.
A plant closing is a specific triggering event covered under the WARN Act, not the general category of process that results from mergers or changing business needs.
A voluntary exit is initiated by the employee's own decision to leave, which is the opposite of what occurs during a merger or outsourcing scenario.
Outplacement is a support service provided to displaced employees to help them find new employment - it is a response to involuntary exits, not the process that causes them.
Concept tested: Involuntary employee separation due to organizational change
Source: https://www.dol.gov/agencies/eta/layoffs/warn
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