Opinion

Waverly Heights, Ltd. v. Unemployment Compensation Board of Review

  • 173 A.3d 1224
Court
Commonwealth Court of Pennsylvania
Filed
Nov 13, 2017
Status
Published
Author
Wojcik
On the bench
Brobson, Wojcik, Pellegrini
Cited by
48 cases
Authority
More cited than 86.9%

noting that this Court is bound by the Board’s findings where those findings are supported by substantial evidence

How later courts described this case

  • noting that this Court is bound by the Board’s findings where those findings are supported by substantial evidence

Written by the judges who cited it.

The opinion

IN THE COMMONWEALTH COURT OF PENNSYLVANIA

Waverly Heights, Ltd., :

:

Petitioner :

:

v. : No. 312 C.D. 2017

: Argued: October 17, 2017

Unemployment Compensation :

Board of Review, :

:

Respondent :

BEFORE: HONORABLE P. KEVIN BROBSON, Judge

HONORABLE MICHAEL H. WOJCIK, Judge

HONORABLE DAN PELLEGRINI, Senior Judge

OPINION

BY JUDGE WOJCIK FILED: November 13, 2017

Waverly Heights, Ltd. (Employer) petitions for review from a final

order of the Unemployment Compensation Board of Review (Board), which

reversed a decision of a referee and granted unemployment compensation (UC)

benefits to Kathleen M. Jungclaus (Claimant) upon determining Claimant was not

ineligible for UC benefits under Section 402(e) of the Unemployment Compensation

Law (Law)1 for willful misconduct based on a tweet she sent regarding the 2016

Presidential Election. Upon review, we affirm.

1

Act of December 5, 1936, Second Ex. Sess., P.L. (1937) 2897, as amended, 43 P.S.

§802(e).

I. Background

Employer, a continuing care retirement community, employed

Claimant as its full-time Vice President of Human Resources from April 1997 until

her discharge on September 27, 2016. Employer discharged Claimant for a tweet

posted on her personal Twitter page on July 24, 2016, which read:

@realDonaldTrump I am the VP of HR in a comp outside

of philly an informal survey of our employees shows

100% AA employees voting Trump!

After her separation from employment, Claimant applied for UC

benefits, which a local service center granted. Employer appealed, and a referee

held a hearing, at which both parties testified.

At the hearing, Employer, who was represented by counsel, presented

two witnesses. Claimant, who was unrepresented by counsel, testified on her own

behalf. Based on the testimony and other evidence presented, the referee determined

Claimant’s behavior violated Employer’s policy and fell below the standards of

behavior Employer had the right to expect. Thus, the referee concluded Claimant

was ineligible for UC benefits under Section 402(e) of the Law for willful

misconduct. Claimant appealed.

On appeal, the Board reversed. Based on the record created by the

referee, the Board made the following findings. Employer maintains a Social Media

Policy, which provides, in relevant part:

[Employer] has an interest in promoting and protecting its

reputation[,] as well as the dignity, respect, and

confidentiality of its residents, clients, and employees as

depicted in social medial, whether through [Employer’s]

own postings or that of others. Towards that end,

[Employer] will actively manage the content of its social

media sites to uphold the mission and values of the

2

company. Also, [Employer] expects employees who

identify themselves with [Employer] in either internal or

external social media to conduct themselves according to

this policy.

Board Op., 2/21/17, Finding of Fact (F.F.) No. 2. Claimant knew of Employer’s

Social Media Policy. F.F. No. 3. On July 24, 2016, Claimant posted on her Twitter

page: “@realDonaldTrump I am the VP of HR in a comp outside of philly an

informal survey of our employees shows 100% AA employees voting Trump!” F.F.

No. 4. In September 2016, Employer became aware of the post and conducted an

investigation. F.F. Nos. 5, 6. Upon completion of its investigation, Employer

discharged Claimant for allegedly violating its Social Media Policy by posting the

tweet. F.F. No. 7.

Although Claimant claimed her husband posted the tweet, the Board

rejected this testimony as not credible and found that Claimant herself posted the

tweet. Board Op. at 2-3; F.F. No. 4. Notwithstanding, the Board found that the

tweet did not violate Employer’s policy because Claimant did not identify herself

with Employer. Board Op. at 3. Although her Twitter post identifies Claimant as a

vice president of human resources for a company located outside of Philadelphia,

the Board concluded that such a statement is “overly-broad.” Id. The mere fact that

Claimant “follows” Employer’s Twitter account is insufficient to say that she

“identified” herself with Employer. Id. Although an individual, through additional

research efforts, could determine that Claimant worked for Employer, the Board

reasoned that “such is not the standard presented by [E]mployer’s [S]ocial [M]edia

[P]olicy.” Id. Ultimately, the Board concluded that Employer failed to meet its

burden of proving willful misconduct under Section 402(e) of the Law. Thus, the

3

Board reversed the referee’s decision and awarded UC benefits to Claimant.

Employer then petitioned this Court for review.2

II. Issues

Employer contends that the Board erred by determining that Claimant’s

“racially charged” social media post, and related conduct, did not violate Employer’s

policies and procedures. In addition, it claims that the Board erred by failing to find

that Claimant’s “racially charged” social media post, and related conduct,

demonstrated wanton and willful disregard for Employer’s interests or defied the

standards of behavior that Employer could reasonably expect from its Vice President

of Human Resources.

III. Discussion

First, Employer contends that the Board erred in concluding that

Employer did not meet its burden of proving that Claimant’s conduct violated its

Social Media Policy. According to Employer, Claimant readily identified herself

with Employer. Claimant identified herself as a vice president of human resources

of a company located outside of Philadelphia. Claimant follows Employer’s Twitter

feed. A Google search of Claimant’s name or Employer’s directory would quickly

link the two together. In addition, Employer asserts that the Board erred by focusing

solely on its Social Media Policy and ignoring other provisions of its

2

Our review is limited to determining whether necessary findings of fact were supported

by substantial evidence, whether errors of law were committed, or whether constitutional rights

were violated. Johns v. Unemployment Compensation Board of Review, 87 A.3d 1006 (Pa.

Cmwlth.), appeal denied, 97 A.3d 746 (Pa. 2014).

4

Communications Policy, which it argues Claimant clearly violated by linking to

Employer’s website.

We begin by noting that “[t]he [Board], not the referee, is the ultimate

fact finding body and arbiter of credibility in [UC] cases.” Deal v. Unemployment

Compensation Board of Review, 878 A.2d 131, 133 n. 2 (Pa. Cmwlth. 2005).

“Questions of credibility and the resolution of evidentiary conflicts are within the

discretion of the [Board] and are not subject to re-evaluation on judicial review.”

Bell v. Unemployment Compensation Board of Review, 921 A.2d 23, 26 n. 4 (Pa.

Cmwlth. 2007). “[T]he Board . . . may reject even uncontradicted testimony if it is

deemed not credible or worthy of belief.” Stockdill v. Unemployment Compensation

Board of Review, 368 A.2d 1341, 1343 (Pa. Cmwlth. 1977). We are bound by the

Board’s findings so long as there is substantial evidence in the record, taken as a

whole, supporting those findings. Guthrie v. Unemployment Compensation Board

of Review, 738 A.2d 518, 521 (Pa. Cmwlth. 1999).

Section 402(e) of the Law provides that an employee will be ineligible

for UC benefits for any week in which her “unemployment is due to [her] discharge

or temporary suspension for willful misconduct.” 43 P.S. §802(e). “Whether

conduct rises to the level of willful misconduct is a question of law to be determined

by this Court.” Brown v. Unemployment Compensation Board of Review, 49 A.3d

933, 937 (Pa. Cmwlth. 2012).

The employer bears “the burden of proving that it discharged an

employee for willful misconduct.” Adams v. Unemployment Compensation Board

of Review, 56 A.3d 76, 78-79 (Pa. Cmwlth. 2012). This Court has defined willful

misconduct as:

(1) wanton and willful disregard of an employer's

interests; (2) deliberate violation of rules; (3)

5

disregard of the standards of behavior which an

employer can rightfully expect from an employee; or,

(4) negligence showing an intentional disregard of the

employer’s interests or the employee’s duties and

obligations.

Johns v. Unemployment Compensation Board of Review, 87 A.3d 1006, 1009 (Pa.

Cmwlth.), appeal denied, 97 A.3d 746 (Pa. 2014).

Where an employer seeks to deny UC benefits based on a work-rule

violation, the employer must prove the existence of a work rule, the reasonableness

of the rule and the employee's violation of the rule. Maskerines v. Unemployment

Compensation Board of Review, 13 A.3d 553, 557 (Pa. Cmwlth. 2011). If the

employer meets its burden, the burden then shifts to the claimant to demonstrate

good cause for her actions. Johns, 87 A.3d at 1010.

Here, Employer terminated Claimant for violating its Social Media

Policy because she represented herself as Employer’s Vice President. Reproduced

Record (R.R.) at 41a. Employer’s policy provides, in pertinent part: “Employer

expects employees who identify themselves with Employer in either internal or

external social media to conduct themselves according to this policy.” F.F. No. 2;

R.R. at 55a. Claimant was aware of this policy. F.F. No. 3; Referee’s Hearing,

11/28/16, Notes of Testimony (N.T.) at 11; R.R. at 39a. However, as the Board

found, Claimant did not identify herself with Employer on her personal Twitter

account. Board Op., at 3. Claimant merely identified herself as a vice president of

human resources of an unnamed company located outside of Philadelphia. F.F. No.

4; R.R. at 80a. Although Claimant “follows” Employer’s Twitter account, which

means she can view any posts posted by Employer, Claimant’s Twitter account is

not “linked” to Employer’s Twitter page or website. N.T. at 9; 22. Her personal

Twitter feed did not represent the Employer. While one could investigate Claimant

6

and ultimately determine the identity of her Employer in the process, the Board

reasoned such is not the standard presented by Employer’s Social Media Policy.

Board Op., at 3; see N.T. at 17. Employer’s policy clearly pertained to “employees

who identify themselves with Employer.” Because Claimant did not identify

Employer in her tweet or otherwise hold herself out as a representative of Employer

on her personal Twitter page, the policy did not apply. Thus, the Board did not err

in concluding that Claimant did not violate Employer’s Social Media Policy.

Insofar as Employer now asserts that Claimant violated other

provisions of its Communications Policy, Employer did not identify a violation of

the Communications Policy as grounds for dismissal. See R.R. at 41a-51a.

Employer referred expressly and only to its Social Media Policy in its separation

information. See R.R. at 41a, 43a, 45a, 46a, 49a. Although Employer also submitted

its Communication Policy into evidence, R.R. at 58a-65a, Employer did not assert a

violation of its Communication Policy at the referee’s hearing. See N.T. at 6, 15-16,

27. Thus, Employer waived the issue. See Wing v. Unemployment Compensation

Board of Review, 436 A.2d 179, 180-81 (Pa. 1981) (issues not raised during a UC

proceeding are waived).

Notwithstanding waiver of this issue, Employer failed to prove that

Claimant violated its Communications Policy, which provides that employees may

not “link from a personal blog or social networking site to [Employer’s] internal or

external website.” R.R. at 63a. The Board’s finding that Claimant merely “follows”

Employer’s Twitter account is supported by the evidence. Board Op. at 3; see R.R.

at 22a, 29a; see R.R. at 77a. Employer did not prove that Claimant had a “link” to

Employer’s website on her social media page. Consequently, Employer would not

prevail on this claim.

7

Next, Employer asserts that the Board erred by not finding that

Claimant’s “racially charged” social media post, and related conduct, demonstrated

wanton and willful disregard for Employer’s interests or defied the standards of

behavior that Employer could reasonably expect from its Vice President of Human

Resources. According to Employer, the tweet confirms that she acted

inappropriately at the workplace by conducting an informal survey, in which she

“singled out African-American staff and asked them their political preferences.”

Petitioner’s Brief at 13. “Claimant, by her own admission, . . . targeted African-

American employees and inquired about their political preferences. ([R.R. at] 25a;

80a).” Petitioner’s Brief at 21. Employer asserts that Claimant’s tweet created a

question of whether she could effectively perform her job duties without regard to

race and exposed Employer to the possibility of litigation by former employees and

those who incurred adverse employment consequences. Employer argues that the

Board erred by focusing exclusively on whether Claimant violated Employer’s

Social Media Policy and not on these other grounds for willful misconduct.

In a UC proceeding, we do not question an employer’s decision to

terminate an at-will employee. See Conlon v. Retirement Board of Allegheny

County, 715 A.2d 528, 529 n.2 (Pa. Cmwlth. 1998) (Pennsylvania is an at-will

employment state and, where there is not a contract, an employer may discharge an

at-will employee “at any time, for any reason or for no reason.”). The issue of

whether an employer can rightfully discharge an employee is separate from, and not

relevant to, the issue of whether a claimant is eligible for UC benefits. Port Authority

of Allegheny County v. Unemployment Compensation Board of Review, 955 A.2d

1070, 1075-76 (Pa. Cmwlth. 2008).

8

Here, although the referee found that Claimant’s conduct fell below the

standards of behavior Employer had the right to expect, the Board, as the ultimate

finder of fact, made no such finding. See F.F. No. 6. Upon review, we conclude

that the Board did not err in this regard. First, the record does not support

Employer’s assumption that “AA” stands for “African American.” Contrary to

Employer’s assertions, Claimant never admitted to this. See R.R. at 25a, 80a. The

certified record contains an exhibit3 listing various meanings for the acronym “AA,”

the first of which is “Alcoholics Anonymous,” followed by “African Americans.”

R.R. at 67a. Claimant testified it stood for “Administrative Assistants.” N.T. at 24.

Notwithstanding, even assuming that AA stands for “African

American,” the tweet did not “single out” “African-American” staff regarding their

political preferences as alleged by Employer. Rather, the tweet itself refers to “an

informal survey of our employees,” not just African-American employees. R.R. at

78a (emphasis added). Employer’s witness testified that Claimant asked “employees

who they were voting for,” not just African Americans. R.R. at 25a (emphasis

added).

Insofar as Employer contends that the act of taking an informal survey

of political preferences during work defied Employer’s standards, Employer offered

no proof, beyond the tweet itself, that she actually took a survey or poll of political

preferences or that she did so during company time. In fact, Employer’s witness

testified that Claimant merely shared a conversation with her regarding political

preferences, but “it wasn’t necessarily that she told me she was conducting any polls,

it was just a conversation that she had shared.” R.R. at 25a. Mere discussions about

3

Both Claimant and Employer deny that they offered this exhibit and suggested it was

submitted by the UC service center. N.T. at 26-27.

9

current affairs, such as an upcoming Presidential Election, do not rise to a level of

disqualifying willful misconduct.

Upon review, we conclude that the Board did not err in determining

Employer did not meet its burden of proving disqualifying misconduct under Section

402(e) of the Law. Accordingly, we affirm.

MICHAEL H. WOJCIK, Judge

10

IN THE COMMONWEALTH COURT OF PENNSYLVANIA

Waverly Heights, Ltd., :

:

Petitioner :

:

v. : No. 312 C.D. 2017

:

Unemployment Compensation :

Board of Review, :

:

Respondent :

ORDER

AND NOW, this 13th day of November, 2017, the order of the

Unemployment Compensation Board of Review, dated February 21, 2017, is

AFFIRMED.

__________________________________

MICHAEL H. WOJCIK, Judge

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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