Baran v. UNEMPLOY. COMP. BD. OF REVIEW

739 A.2d 1124
CourtCommonwealth Court of Pennsylvania
DecidedOctober 25, 1999
StatusPublished

This text of 739 A.2d 1124 (Baran v. UNEMPLOY. COMP. BD. OF REVIEW) is published on Counsel Stack Legal Research, covering Commonwealth Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baran v. UNEMPLOY. COMP. BD. OF REVIEW, 739 A.2d 1124 (Pa. Ct. App. 1999).

Opinion

739 A.2d 1124 (1999)

Paul E. BARAN, Petitioner,
v.
UNEMPLOYMENT COMPENSATION BOARD OF REVIEW, Respondent.
Jeannette P. Purcell, Petitioner,
v.
Unemployment Compensation Board of Review, Respondent.
Richard D. Gray, Sr., Petitioner,
v.
Unemployment Compensation Board of Review, Respondent.
Gary C. Watsula, Petitioner,
v.
Unemployment Compensation Board of Review, Respondent.
Ronald Sadler, Petitioner,
v.
Unemployment Compensation Board of Review, Respondent.

Commonwealth Court of Pennsylvania.

Submitted on Briefs September 14, 1999.
Decided October 25, 1999.

*1125 Richard E. Gordon, Pittsburgh, for petitioners.

Mark A. Fontana, Harrisburg, for intervenor, Corning Consumer Products.

Before COLINS, J., KELLEY, J., and JIULIANTE, Senior Judge.

JIULIANTE, Senior Judge.

Paul E. Baran, representative claimant, Jeannette Purcell, alternate representative, Richard Gray, Gary Watsula, and Ronald Sadler (collectively, Claimants)[1] petition for review from five orders of the Unemployment Compensation Board of Review, dated December 29, 1998, that affirmed the referee's denial of unemployment compensation benefits for the weeks ending July 11 and July 18, 1998 pursuant to Sections 4(u) and 404(d)(1)(ii) of the Unemployment Compensation Law (Law).[2] We affirm.

Claimants are employed by Corning Consumer Products (Employer). On January 21, 1998, Employer met with union representatives[3] to inform them, inter alia, that it was instituting a plant-wide vacation shutdown from June 28 through July 18, 1998 and that employees must use vacation time during that period.[4] Shortly thereafter, Employer also informed the union that it would honor all vacation requests outside the scheduled shutdown that were submitted prior to January 21, 1998, without regard to seniority. After January 21, 1998, Employer would not approve vacation requests outside the shutdown period where the employees did not receive prior approval or did not have vacation time scheduled during the shutdown period.[5]

In June of 1998, Claimants filed for unemployment compensation benefits. The Charleroi Job Center disapproved Claimants' applications, concluding that because Claimants received payment from Employer's vacation fund in excess of the partial benefit credit, they were not entitled to benefits for the applicable period.

Claimants appealed to the referee. After a hearing on the merits, the referee made the following findings of fact:[6]

1. The claimant was last employed by Corning Consumer Products until June 27, 1998, his last day of work.
2. The claimant has received a vacation payment from the employer's vacation *1126 fund attributable to the compensable weeks in issue.
3. The unemployment period herein was not a permanent or indefinite furlough from work and claimant at all times material herein had a recall to work date of July 19, 1998.
4. The employer designated the period June 28, 1998 through July 18, 1998 as a vacation period for the entire production staff and the employer instituted for the period herein a plant shutdown.
5. There exists a collective bargaining agreement [CBA] (contract) between the employer and Aluminum Brick & Glass Workers International Union (union) which was in effect at the time material herein and which controlled the terms and conditions of employment.

6. Article 21 of the contract provides:

"Section 4. Any vacation not completed during a calendar year cannot be carried over to the next year. Vacations will, so far as possible, be granted at times most desired by employees, but the final right to allotment of vacation period is preserved by the Company so that orderly operations of the plant may be insured."
7. On January 21, 1998, the employer met with representatives of the union and so informed the union that the employer was instituting a plant shutdown from June 28, 1998 through July 18, 1998 and that certain employees must use their vacation allotments during said period.
8. On January 21, 1998, the employer advised the union that the employer would honor vacation requests for vacation days outside the plant vacation shutdown period imposed herein where made by said employees and approved by the employer prior to January 21, 1998 without regard to seniority of the individuals involved.
9. On January 22, 1998, the employer disapproved vacations outside the plant shutdown period which requests had not received said prior approval of the employer without regard to seniority of the individuals involved.
10. There was no production during the plant shutdown period. The employer made a determination that it was more efficient to shut down completely and resume at full operation, rather than operate partially during the period herein.
11. No employee involved in the plant shutdown herein was offered a voluntary layoff during the plant shutdown period.
12. The employer imposed a plant shutdown in 1993 and required its employees to take vacation during the shutdown period under Article 21, Section 4 of the contract which is identical to the [sic] Article 21, Section 4 of the contract currently in effect.
13. The employer, in imposing a plant shutdown and vacation period herein, did not violate any past practices.

(Findings of Fact Nos. 1-13).

Relying on this Court's decision in Appel v. Unemployment Compensation Board of Review, 124 Pa.Cmwlth. 632, 556 A.2d 973 (1989), the referee concluded that Employer had the authority under the CBA to declare the plant shutdown as a vacation period and that therefore, Claimants' vacation pay was deductible from their weekly benefit rates. Accordingly, the referee affirmed the Job Center's determination and denied benefits for the weeks ending July 11 and July 18, 1998. As in the case sub judice, the CBA in Appel contained language that reserved to the employer the final right to determine the allotment of vacation periods in order to ensure orderly operation of the facility. We agree that the referee's reliance on our decision in Appel was proper.

On appeal, the Board affirmed the referee's determination. Claimants now seek review in this Court, arguing that Employer improperly designated the shut-down *1127 period as vacation time.[7] Our review is limited to determining whether constitutional rights were violated, whether an error of law was committed, or whether the necessary findings of fact are supported by substantial evidence. Dingbat's v. Unemployment Compensation Board of Review, 123 Pa.Cmwlth. 73, 552 A.2d 1157 (1989).

In reviewing vacation pay cases in the unemployment compensation context, the Court must study both the CBA as well as the relevant provisions of the Law. Appel. Section 4(u) of the Law, 43 P.S. § 753(u), provides in pertinent part:

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Related

Dingbat's v. UN. COMP. BD. OF REV.
552 A.2d 1157 (Commonwealth Court of Pennsylvania, 1989)
Praskac v. Unemployment Compensation Board of Review
683 A.2d 329 (Commonwealth Court of Pennsylvania, 1996)
Baran v. Unemployment Compensation Board of Review
739 A.2d 1124 (Commonwealth Court of Pennsylvania, 1999)
Eckenrode v. Commonwealth
390 A.2d 886 (Commonwealth Court of Pennsylvania, 1978)
Dennis v. Commonwealth, Unemployment Compensation Board of Review
423 A.2d 458 (Commonwealth Court of Pennsylvania, 1980)
Iceland Products v. Commonwealth, Unemployment Compensation Board of Review
492 A.2d 457 (Commonwealth Court of Pennsylvania, 1985)
Appel v. Commonwealth
556 A.2d 973 (Commonwealth Court of Pennsylvania, 1989)

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739 A.2d 1124, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baran-v-unemploy-comp-bd-of-review-pacommwct-1999.