Human Resources Certification Institute (HRCI) Practice Exam

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What is a mandatory notice for an employee who has been discharged?

  1. COBRA notification

  2. Severance agreement

  3. Employee Change in Status form

  4. Both A and C

The correct answer is: COBRA notification

A COBRA notification is a mandatory notice for an employee who has been discharged. The main purpose of a COBRA notification is to inform the employee of their rights to continue health insurance coverage after they have been terminated. A severance agreement (B) is a contract between an employer and employee that outlines the terms of separation, such as pay and benefits. This is not a mandatory notice and may not always be offered to an employee who has been discharged. An Employee Change in Status form (C) is typically used for internal record-keeping purposes and is not a mandatory notice for an employee who has been discharged. Option D (Both A and C) is incorrect because although a COBRA notification and Employee Change in Status form may both be relevant after an employee has been terminated, they are not interchangeable and serve different purposes.