General Regulatory Compliance Basics 2 — Questions and Answers
Question 1: Which federal agency enforces workplace safety regulations in the United States?
- EPA
- OSHA (Correct answer)
- EEOC
- FTC
Correct answer: OSHA
The Occupational Safety and Health Administration (OSHA) is responsible for enforcing federal workplace safety and health regulations.
Question 2: What is a 'compliance audit'?
- A financial review of company profits
- A systematic review to assess adherence to regulatory requirements (Correct answer)
- A background check on new employees
- An annual tax filing process
Correct answer: A systematic review to assess adherence to regulatory requirements
A compliance audit is a structured examination to determine whether an organization is following applicable laws, regulations, and internal policies.
Question 3: Under GDPR, what must organizations do when a data breach occurs?
- Report it within 72 hours to the relevant supervisory authority (Correct answer)
- Wait 30 days before notifying affected individuals
- Only report breaches that affect more than 1,000 people
- Notify the FBI within 24 hours
Correct answer: Report it within 72 hours to the relevant supervisory authority
GDPR requires organizations to notify the appropriate supervisory authority within 72 hours of becoming aware of a personal data breach.
Question 4: What does 'due diligence' mean in a compliance context?
- Paying taxes on time
- Reasonable steps taken to avoid harm or satisfy a legal requirement (Correct answer)
- Hiring a compliance officer
- Conducting employee performance reviews
Correct answer: Reasonable steps taken to avoid harm or satisfy a legal requirement
Due diligence refers to the reasonable care and investigation an organization conducts to comply with laws and avoid liability.
Question 5: Which law prohibits discrimination in employment based on race, color, religion, sex, or national origin?
- HIPAA
- Sarbanes-Oxley Act
- Title VII of the Civil Rights Act of 1964 (Correct answer)
- The Fair Labor Standards Act
Correct answer: Title VII of the Civil Rights Act of 1964
Title VII of the Civil Rights Act of 1964 is the primary federal law prohibiting workplace discrimination on those protected bases.
Question 6: What is the primary purpose of the Bank Secrecy Act (BSA)?
- To protect consumer bank deposits
- To require financial institutions to assist in detecting and preventing money laundering (Correct answer)
- To regulate interest rates on savings accounts
- To insure bank accounts up to $250,000
Correct answer: To require financial institutions to assist in detecting and preventing money laundering
The BSA requires financial institutions to maintain records and file reports that help identify and deter money laundering and other financial crimes.
Question 7: What is 'whistleblower protection' in compliance?
- Legal protections for employees who report violations of laws or regulations (Correct answer)
- Insurance coverage for company executives
- A policy preventing leaks of trade secrets
- Protection from competitor espionage
Correct answer: Legal protections for employees who report violations of laws or regulations
Whistleblower protection laws shield employees from retaliation when they report illegal or unethical conduct by their employer.
General Regulatory Compliance Basics 2
Which federal agency enforces workplace safety regulations in the United States?