IN THE COMMONWEALTH COURT OF PENNSYLVANIA 
TINA CHARLES, : 
Petitioner ::
v. : No. 1135 C.D. 2000 
: SUBMITTED: October 6, 2000 
: 
UNEMPLOYMENT COMPENSATION : 
BOARD OF REVIEW, : 
Respondent : 
BEFORE: HONORABLE DORIS A. SMITH, Judge 
HONORABLE JAMES R. KELLEY, Judge 
HONORABLE SAMUEL L. RODGERS, Senior Judge 
OPINION BY 
SENIOR JUDGE RODGERS FILED: December 29, 2000 

Tina Charles (Claimant) petitions for review of the April 13, 2000 
order of the Unemployment Compensation Board of Review (Board) affirming a 
referee’s denial of benefits pursuant to Section 402(b) of the Unemployment 
Compensation Law (Law).1 We affirm. 

Claimant was employed by Days Inn (Employer) as a banquet 
waitress at an hourly rate of $2.84 plus gratuities. Employer permitted Claimant to 
supplement her employment with available office work at the rate of $6.00 per 
hour, in order to maintain a full time position and qualify for certain benefits. In 
October of 1999, Claimant was promoted to banquet captain, with a salary of $4.40 
per hour plus half of one percent of the total gratuity collected at banquets. 
Shortly thereafter, Claimant’s supervisors spoke to Claimant about the 
manner in which she supervised other banquet workers; specifically, the 
supervisors told Claimant she was not to allow other employees to take 
unauthorized breaks. Then, due to illness, Claimant was unable to work over the 
Thanksgiving weekend as scheduled. Claimant notified Employer, but she failed 
to follow Employer’s policy requiring her to arrange for replacement workers. 
On or about December 3, 1999, Employer informed Claimant that she 
was being demoted from banquet captain to banquet waitress. Claimant 
complained to her immediate supervisors that the demotion was unjustified. 
Claimant was scheduled to work the next day, but she called before going in and 
asked her supervisor if Employer had brought her rate of pay back up. Upon 
learning that her demotion remained in effect, Claimant voluntarily quit her 
employment.

The local job center denied Claimant benefits and Claimant appealed. 
At hearings before a referee, Claimant testified that she voluntarily quit her 
employment because she believed that her demotion was not justified. Claimant 
argued that Employer’s progressive disciplinary policy, as reflected in a memo 
dated September 21, 1999, requires that a verbal warning be given following a first 
violation of Employer’s rules. Claimant asserted that her supervisors had 
discussed her job performance with her, but had never warned her or otherwise 
indicated that her position was in jeopardy. 

Employer’s witnesses acknowledged that Claimant had not been 
warned in accordance with its disciplinary policy. However, they believed that the
demotion was justified based upon Claimant’s violation of Employer’s policy and 
rules concerning the supervision of employees and the requirement to arrange for 
replacement workers. 

The referee determined that the demotion was justified and upheld the 
denial of benefits under Section 402(b) of the Law. Claimant appealed to the 
Board, which resolved conflicting testimony in Employer’s favor and adopted the 
referee’s findings of fact. Relying on Allegheny Valley School v. Unemployment 
Compensation Board of Review, 548 Pa. 355, 697 A.2d 243 (1997), the Board 
affirmed the referee’s decision.2 

On appeal to this Court,3 Claimant first argues that the Board erred in 
determining that her demotion was justified, because Employer failed to follow its 
disciplinary policy. Initially, we observe that this argument is relevant where a 
claimant has been discharged by the employer. In those circumstances, if the 
discharged employee is to be ineligible for unemployment compensation, the 
discharge must be in accordance with the employer’s own rules. PMA 
Reinsurance Corp. v. Unemployment Compensation Board of Review, 558 A.2d 
623 (Pa. Cmwlth. 1989). 
 
However, a different analysis is applied when unemployment results 
from a claimant’s voluntary termination of her employment. Rapid Pallet v. 
Unemployment Compensation Board of Review, 707 A.2d 636 (Pa. Cmwlth. 
1998). In order to be entitled to benefits, a claimant who voluntarily terminates her 
employment bears the burden of establishing necessitous and compelling reasons 
for such action. Livingston v. Unemployment Compensation Board of Review, 
702 A.2d 20 (Pa. Cmwlth. 1997). 

In Allegheny Valley School, the Supreme Court held that, where a 
claimant voluntarily quits following a demotion, the relevant inquiry is limited to 
determining whether the demotion was justified. The court reasoned that where 
the demotion was justified, a claimant does not have necessitous and compelling 
reasons to voluntarily terminate her employment, because the change in duties 
and/or remuneration was the result of the claimant’s fault. Id. 

In Allegheny Valley School, the court made clear that no other factor 
is appropriately considered: 
	As previously recognized … an employer can demote an 
	employee for valid reasons. … To require an examination 
	of a factor other than the justification for the demotion 
	would lead to employers never demoting employees 
	because of fear of being subject to claims for benefits. 

Id. at 366, 697 A.2d at 248 (citation omitted). Therefore, we reject Claimant’s 
argument that the Board erred in failing to find that her demotion was unjustified 
based on Employer’s failure to follow its disciplinary policy 

Claimant also argues that the Board erred in failing to identify the 
specific findings made by the referee that support its determination that the 
demotion was justified. Claimant maintains that this alleged error is significant,
because the reasons provided by Employer at the remand hearing differed from the 
reasons given to Claimant and stated at the first hearing. Again, this argument 
would be relevant had Employer terminated Claimant’s employment.4 As 
previously stated, however, the statutory analysis applied where unemployment is 
due to a discharge is not relevant where a claimant’s unemployment is due to her 
voluntarily terminating her employment. Rapid Pallet. Employer did offer 
different reasons for the demotion, but, since Claimant does not allege that any of 
the reasons provided would render her demotion unjustified, the Board did nor err 
by failing to more specifically identify the findings upon which it relied. 
Accordingly, we affirm. 

SAMUEL L. RODGERS, Senior Judge 

IN THE COMMONWEALTH COURT OF PENNSYLVANIA 
TINA CHARLES, : 
Petitioner ::
v. : No. 1135 C.D. 2000 
: 
UNEMPLOYMENT COMPENSATION : 
BOARD OF REVIEW, : 
Respondent : 
ORDER 
NOW, December 29, 2000 , the order of the Unemployment 
Compensation Board of Review in the above-captioned matter is affirmed. 
SAMUEL L. RODGERS, Senior Judge








NOTES:

1 Act of December 5, 1936, Second Ex. Sess., P.L. (1937) 2897, as amended, 43 P.S. 
§802(b), which provides that a claimant shall be ineligible for benefits for any week in which her 
unemployment is due to voluntarily leaving work without cause of a necessitous and compelling 
nature.

2 After Claimant appealed to the Board, it was discovered that one of the hearing tapes 
was blank. Accordingly, the Board remanded the matter for the taking of additional testimony 
and the transcript of the second hearing was submitted to the Board before it rendered its 
decision. 

3 Our scope of review in an unemployment compensation appeal is limited to 
determining whether an error of law was committed, constitutional rights were violated, or 
whether necessary findings of fact are supported by substantial evidence. Section 704 of the 
Administrative Agency Law, 2 Pa. C.S. §704. Peoples First National Bank v. Unemployment 
Compensation Board of Review, 632 A.2d 1014 (Pa. Cmwlth. 1993).

4 In order to deny benefits to a discharged employee, the employer’s stated reasons for 
the discharge must be the actual cause of the claimant’s unemployment. Century Apartments, 
Inc. v. Unemployment Compensation Board of Review, 373 A.2d 1191 (Pa. Cmwlth. 1977). In 
addition, the alleged conduct cannot be temporally remote from the ultimate discharge or 
previously been condoned. Panaro v. Unemployment Compensation Board of Review, 413 A.2d 
772 (Pa. Cmwlth. 1980); Lower Gwynedd Township, 404 A.2d 770 (Pa. Cmwlth. 1979).