Appellant
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UNEMPLOYMENT COMPENSATION
Appellee:
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No. 0184 M.D. Appeal Docket
1996.
Appeal from the Order of the
Commonwealth Court entered
March 18, 1996 at 3104 C.D.
1994 affirming the order
entered November 9, 1994 of the
Unemployment Compensation Board
of Review at No. B-329913-B
Argued: April 29, 1997
Appellant
v.
UNEMPLOYMENT COMPENSATION
Appellee
Appeal from the Order of the
Commonwealth Court entered
March 18, 1996 at 3105 C.D.
1994 affirming the order
entered November 9, 1994 of the
Unemployment Compensation Board
of Review at No. B-329914-B
Argued: April 29, 1997
Appellant
v.
UNEMPLOYMENT COMPENSATION
Appellee
Appeal from the Order of the
Commonwealth Court entered
March 18, 1996 at 3106 C.D.
1994 affirming the order
entered November 9, 1994 of the
Unemployment Compensation Board
of Review at No. B-329915-B
Argued: April 29, 1997
BOARD OF REVIEW,
WILSON HOSTETTER, INTERVENOR
CATERPILLAR, INC.
BOARD OF REVIEW,
THOMAS E. HEATH, INTERVENOR
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No. 0185 M.D. Appeal Docket
1996.
CATERPILLAR, INC.
BOARD OF REVIEW,
ROBERT G. HILDEBRAND, JR.,
INTERVENOR
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No. 0186 M.D. Appeal Docket
1996.
Appellant
v.
UNEMPLOYMENT COMPENSATION
Appellee
Appeal from the Order of the
Commonwealth Court entered
March 18, 1996 at 3107 C.D.
1994 affirming the order
entered November 9, 1994 of the
Unemployment Compensation Board
of Review at No. B-329897-B
Argued: April 29, 1997
CATERPILLAR, INC.
BOARD OF REVIEW,
DONALD J. CODDINGTON, et al.,
INTERVENORS
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No. 0187 M.D. Appeal Docket
1996.
MR. JUSTICE CASTILLE DECIDED: NOVEMBER 20, 1997
The majority holds that Claimants' (the Intervenors) actions
did not constitute willful misconduct and that Claimants are
therefore entitled to unemployment compensation benefits because
their violation of a work rule prohibiting employees from wearing
T-shirts attacking or insulting any individual working for
appellant, Caterpillar, Inc., did not constitute willful
misconduct since the T-shirts which resulted in Claimants'
suspensions did not personally attack Caterpillar's Chairman and
Chief Executive Officer and the rule unfairly restrained
Claimants' ability to support a union position. Because the
facts demonstrate that Claimants were aware of the work rule and
that Claimants deliberately violated the work rule (indeed,
flaunted the work rule), I believe that Claimants engaged in
willful misconduct which made them ineligible to receive
unemployment compensation benefits for their period of
suspension. Thus, I respectfully dissent.
As correctly noted by the majority, Section 402(e) of the
Unemployment Compensation Law precludes claimants who engage in
willful misconduct from receiving unemployment compensation
benefits. While Section 402(e) does not define "willful
misconduct," this Court has defined willful misconduct as:
an act of wanton or willful disregard of the employer's
interest, a deliberate violation of the employer's
rules, a disregard of standards of behavior which the
employer has a right to expect of an employee, or
negligence indicating an intentional disregard of the
employer's interest or of the employee's duties and
obligations to the employer.
Myers v. Unemployment Compensation Board of Review, 533 Pa. 373,
378, 625 A.2d 622, 625 (1993). Caterpillar, as the employer,
bears the burden of proving that the suspended Claimants engaged
in willful misconduct. Gillins v. Unemployment Compensation
Board of Review, 534 Pa. 590, 600, 633 A.2d 1150, 1155-56 (1993).
Where, as here, Caterpillar claims that Claimants' willful
misconduct is based upon a violation of its work rules, the Court
must determine if the work rule is reasonable in light of all the
circumstances and whether Claimants had good cause to violate the
work rule. Frumento v. Unemployment Compensation Board of
Review, 466 Pa. 81, 87, 351 A.2d 631, 634 (1976).
Here, Caterpillar had a work rule which prohibited both
union and non-union employees from wearing T-shirts that "attack
or insult individual persons, whether they are hourly employees,
supervisors, managers, local Union leaders, the president of the
UAW or even the chairman of Caterpillar." As the majority
acknowledges, there is no dispute that Claimants were fully aware
of this work rule, especially since Caterpillar reiterated the
work rule and its intention to enforce the rule less than two
months before the incident which resulted in Claimants being
suspended. The purpose for having this work rule was to avoid
in-plant confrontations between employees since both Caterpillar
and union officials were concerned over violence on the shop
floor. The majority also acknowledges that this constitutes a
reasonable purpose for having such a work rule, a conclusion that
I join.
Despite recognizing that Claimants were aware of the work
rule and that there was a reasonable basis for having the work
rule, the majority still finds that the work rule, as applied to
the specific facts of this case, was not reasonable. In
particular, the majority finds that the language of the T-shirts
worn by Claimants was not offensive, that the work rule was not
specific enough as to what actually constituted a violation of
the work rule, and that the work rule interfered with Claimants'
right to support a union position. I cannot agree.
Here, the T-shirts in question contained in bold print the
slogan "PERMANENTLY REPLACE FITES," indicating the chairman and
CEO of Caterpillar. Despite Claimants' attempt to disguise this
message with other less noticeable language describing a National
Labor Relations Board complaint filed against Caterpillar for
suspending an employee who wore this same slogan, I believe that
this T-shirt could reasonably be viewed as attacking or insulting
the chairman and CEO of Caterpillar. Since the plain language of
the work rule prohibited the wearing of a T-shirt insulting or
attacking a Caterpillar employee, the Claimants clearly violated
the work rule in dispute.
Also, I cannot agree with the position that the Caterpillar
work rule failed to clearly delineate that the T-shirts worn by
Claimants would be considered a violation of the work rule.
Here, the record reveals that Caterpillar supervisors informed
Claimants that their T-shirts violated the work rule before any
suspensions were imposed. The supervisors also warned Claimants
that they would be suspended unless they removed the T-shirt,
covered up the offending statement or wore the T-shirt inside
out. Under these circumstances, I must conclude that Claimants
were given reasonable notice that Caterpillar deemed their
T-shirts to be violative of the work rule and had a reasonable
opportunity to comply with the work rule before Claimants were
suspended for violating the rule.
Neither can I agree that the work rule unreasonably
interfered with Claimants' ability to support a union position.
One of the Claimants, who was a union official, testified that he
was aware that the Claimants could have complied with the options
presented by Caterpillar and subsequently filed a grievance
protesting Caterpillar's action. Since such recourse was
available, I believe that Caterpillar's actions did not
unreasonably interfere with Claimants' ability to support a union
position. Moreover, an employee's conduct which violates
recognized company policy, which is otherwise reasonable and
lawful, fails to automatically become protected because the
employee alleges it was done to further union activity. See
Flores v. Unemployment Compensation Board of Review, 686 A.2d 66,
74 (Pa. Cmwlth. 1996) (Commonwealth Court has consistently held
that "willful misconduct is not excused simply because it
occurred while an employee is engaging in union activities");
Williams v. Unemployment Compensation Board of Review, 109 Pa.
Commw. 329, 531 A.2d 88 (1987) (claimant engaged in willful
misconduct and was not eligible for benefits where in the course
of his representation of union meetings with management, claimant
violated a work rule prohibiting the use of profane and vulgar
language). Thus, since the T-shirt clearly violated
Caterpillar's work rule and it did not interfere with Claimants'
ability to support a union position, I believe that the work rule
in question was reasonable when it was applied to the facts of
this case.
Based on the above, the record clearly demonstrates that
Caterpillar had a work rule which prohibited all employees from
wearing a T-shirt which insulted or attacked another employee,
that this work rule was reasonable, that Claimants were aware of
this work rule's existence, that Claimants were made aware that
their T-shirts which contained the slogan "PERMANENTLY REPLACE
FITES" were considered by Caterpillar to violate the work rule
and that Caterpillar offered Claimants three remedial options in
order to avoid being suspended. Nevertheless, Claimants freely
chose to deliberately violate the work rule without just cause by
continuing to wear the T-shirts. As a matter of law, I believe
this evidence established that Claimants engaged in willful
misconduct by wearing the T-shirts since they knowingly violated
a work rule which Caterpillar indicated it would enforce. See
County of Luzerne v. Unemployment Compensation Board of Review,
148 Pa. Commw. 473, 478, 611 A.2d 1335, 1338 (1992) (when an
employee is advised that a rule will be strictly enforced, even
though it had not been previously enforced, violation of the rule
constitutes willful misconduct and renders the employee
ineligible for unemployment compensation benefits).
(See footnote 1) Therefore,
since Caterpillar met its burden of proving that Claimants
engaged in willful misconduct, I would reverse the order of the
Commonwealth Court affirming the award of unemployment
compensation benefits to Claimants. Accordingly, I must dissent.
Mr. Justice Nigro joins in this dissenting opinion.