McCammon v. Yellowstone Co., Inc.

607 P.2d 434, 100 Idaho 926, 1980 Ida. LEXIS 406
CourtIdaho Supreme Court
DecidedFebruary 29, 1980
Docket12875
StatusPublished
Cited by10 cases

This text of 607 P.2d 434 (McCammon v. Yellowstone Co., Inc.) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McCammon v. Yellowstone Co., Inc., 607 P.2d 434, 100 Idaho 926, 1980 Ida. LEXIS 406 (Idaho 1980).

Opinion

DONALDSON, Chief Justice.

This is an appeal from a decision of the Idaho Industrial Commission denying claimant-appellant’s unemployment benefits. Claimant Robert W. McCammon filed for unemployment benefits on March 22, 1977. Originally he was declared eligible for benefits but his employer, Ossie Rhash, protested, requesting a redetermination. Redetermination was bypassed at the request of the Industrial Commission and the matter was forwarded as an appeal to the Appeals Examiner, who concluded that McCammon had voluntarily left his employment and was thus ineligible for unemployment benefits. Review of the appeal was held in October, 1977, which resulted in the decision of the Industrial Commission dated January 3, 1978, affirming the order of the Appeals Examiner for the Department of Employment and denying unemployment benefits to McCammon.

*927 McCammon was employed as a field adjuster for Yellowstone Company, Inc., for approximately four years. On March 18, 1977, his manager Ossie Rhash informed him that his job would be terminated as of April 1, 1977. Reasons for the termination were McCammon’s failure to dress properly for his job, failure to keep adequate records, failure to keep the company car clean and improper use of company time for personal matters. McCammon denied all of these allegations.

McCammon told Rhash that he would quit effective March 18, 1977 instead of waiting until April 1, giving as his reason the strained relations between the two men. Rhash consented to the early termination. Thereafter, McCammon filed for unemployment benefits which were denied by the Appeals Examiner on the basis of 'his conclusion that McCammon, who could have continued in his employment for two more weeks, had voluntarily quit without good cause.

On appeal we address the issue of whether the Industrial Commission’s finding that McCammon voluntarily left his employment without good cause should deprive him of unemployment benefits for the period after he was fired. We note at the outset that McCammon, at oral argument, requested benefits for the period beginning April 1, 1977, the date he was fired, rather than from the period beginning March 20. We believe there is a significant distinction between an award of unemployment benefits that would begin on a claimant’s effective date of termination rather than on the date claimant voluntarily resigned. For reasons discussed below we affirm the denial of benefits for. the period of March 20 to March 31, 1977, but reverse the denial of benefits for the period beginning April 1 and remand for further proceedings.

The issue of whether a terminated employee is entitled to unemployment benefits after voluntarily leaving work prior to the effective termination date is one of first impression in Idaho; however, other jurisdictions have had an opportunity to address the issue and have allowed an employee who voluntarily left his employment a short time prior to an effective termination date to recover unemployment benefits for the period of involuntary unemployment. In Department of Labor & Industry v. Unemployment Compensation Board of Review, 133 Pa.Super. 518, 3 A.2d 211 (1938), the Pennsylvania Superior Court affirmed a decision of the Compensation Board which awarded unemployment benefits to a claimant whose job was terminated effective December 24, 1937, but who left work voluntarily on December 20.

In discussing the issue of whether claimant’s leaving on December 20 constituted a voluntary departure which would deprive the claimant of benefits, the court reviewed the record and found that claimant’s “leaving work under the circumstances did not cause the unemployment for which he claimed benefits.” 3 A.2d at 215.

The court concluded its decision by noting:

“In our view of the case the claimant’s employment was broken or severed as a result of the act of the employer in notifying him that he would be laid off on December 24, seven days later. His leaving was due to this positive act of the employer, which was never withdrawn or modified. His leaving a few days in advance of the time fixed for his lay-off, with the employer’s full assent, cannot be construed as ‘voluntarily leaving work’, but only as anticipating by a few days, with the consent of the employer, the effective date of his dismissal. He did not leave the work of his own motion or accord, but in consequence of the action of the employer laying him off. His dismissal became effective as of December 24, 1937. . . .” (emphasis added) 3 A.2d at 215.

The Pennsylvania Superior Court was cited with approval by the Florida District Court of Appeals in Johnston v. Florida Department of Commerce, 340 So.2d 1229, 1231 (Fla.App.1976). There, an employee whose job was terminated with two weeks advance notice sought unemployment benefits after she had voluntarily quit prior to *928 the effective date of termination. Claimant’s original application for benefits was denied on the basis that her voluntary termination prior to the effective notification date constituted quitting without good cause.

In quashing the order of the Industrial Relations Commission which had denied claimant unemployment benefits, the Florida court construed its unemployment statutes to mean that where an employer notifies its employee that his employment is being definitely terminated as of a given date, the employee has not voluntarily left his employment without good cause attributable to his employer if he chooses not to work all or part of the period between notification and the date of termination. 340 So.2d at 1230.

The court went on to distinguish the period of voluntary unemployment as that period during which the employee chooses not to work, and held that an employee is ineligible to receive benefits during that period. Unlike the period of voluntary unemployment,

“[T]he period of involuntary unemployment begins with the date which the employer designated as the termination date when it gave the employee notice. If the employee is otherwise eligible for unemployment compensation benefits, his leaving work after he was given definite notice will not deprive him of those benefits during the period of involuntary unemployment.” 340 So.2d at 1230. (emphasis added)

The court held the claimant eligible for the period of involuntary unemployment, even though it had a statute similar to Idaho’s 1 which required that a claimant could only renew her eligibility status by finding another job and earning ten times the weekly benefit amount.

We find the reasoning of both the Pennsylvania and Florida courts persuasive and likewise conclude that a claimant, who is otherwise eligible, should not be deprived of benefits for a period of involuntary unemployment, in this case, effective April 1, 1977. In so holding we note that the appeals examiner found that McCammon had voluntarily left his employment without good cause under I.C. § 72-1366(e), 2 without making a finding on whether the employer had cause to fire the employee or whether McCammon was discharged because of misconduct.

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Bluebook (online)
607 P.2d 434, 100 Idaho 926, 1980 Ida. LEXIS 406, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mccammon-v-yellowstone-co-inc-idaho-1980.