Certified Professional in Health Care Risk Management (CPHRM) Practice Exam 2025 - Free CPHRM Practice Questions and Study Guide

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Which definition correctly reflects employee practices liability?

Managing employee records

Ensuring a healthy workplace environment

Addressing violations leading to legal claims

The definition that best reflects employee practices liability is addressing violations leading to legal claims. Employee practices liability encompasses the risks associated with employment-related issues, such as wrongful termination, discrimination, harassment, and other breaches of an employee's rights that may result in legal action against an employer. This aspect of risk management focuses on minimizing the potential for lawsuits and ensuring compliance with employment laws, which is crucial for protecting both the organization and its employees.

The other choices do not fully encapsulate the essence of employee practices liability. For instance, managing employee records, while important, does not specifically address the legal implications that arise from employee-related practices. Similarly, ensuring a healthy workplace environment is more related to occupational health and safety rather than addressing the legal risks related to employment practices. Lastly, monitoring employee productivity is more focused on performance management and does not inherently involve the legal aspects tied to employment practices.

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Monitoring employee productivity

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