DECA Human Resources Management Practice Exam

What process allows senior employees to take other positions within the company when their own positions are eliminated?

1. Bumping

2. Buyout

3. Coaching

4. Benchmark Job

The correct answer is: Bumping

The process that allows senior employees to take other positions within the company when their own positions are eliminated is known as "bumping." This practice often occurs during organizational restructuring or downsizing, where employees with more seniority have the option to replace less senior employees in their roles if their current job is cut. It protects the job security of senior employees by allowing them to retain their employment within the organization, albeit in a different capacity or position. The other options refer to different concepts: "buyout" typically involves offering a financial incentive for an employee to voluntarily leave the company, rather than facilitating a transition to another role. "Coaching" pertains to the development and enhancement of skills in individuals rather than job placement. "Benchmark Job" refers to a standard position used to compare compensation and job responsibilities across similar roles within different companies or sectors and is not related to the process of job placement during job elimination.