Standard Oil Co. v. Review Board of Indiana Employment Security Division

88 N.E.2d 567, 119 Ind. App. 576, 1949 Ind. App. LEXIS 210
CourtIndiana Court of Appeals
DecidedNovember 22, 1949
DocketNos. 17,914-929 inclusive.
StatusPublished
Cited by5 cases

This text of 88 N.E.2d 567 (Standard Oil Co. v. Review Board of Indiana Employment Security Division) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Standard Oil Co. v. Review Board of Indiana Employment Security Division, 88 N.E.2d 567, 119 Ind. App. 576, 1949 Ind. App. LEXIS 210 (Ind. Ct. App. 1949).

Opinions

Draper, J.

We have before us for judicial review a decision of the Review Board of the Indiana Employment Security Division, allowing unemployment benefits to sixteen separate claimants.

The controlling facts were the same in all the claims and all presented the same question of law. They were disposed of by the Review Board in one consolidated decision. The cases were separately appealed, but the assignments of error are identical in each case, and the sixteen appeals were consolidated here for argument, opinion and decision.

The question presented to the Review Board was whether the appellees left work voluntarily to marry, within the meaning of § 1507 (a) of the Employment Security Act of 1947, Burns’ 1933 (1947 Supp.), § 52-1539f, which reads as follows:

“Notwithstanding any other provisions of this act, no benefit rights shall accrue to any individual based upon wages earned from any employer prior to the day upon which:
“(a). Such individual left work voluntarily to marry or because of marital, parental, filial, or other domestic obligations; Provided, however, That a referee or the review board in accordance with the procedure established in section 1803 (§ 52-1542b) hereof, may, upon good cause shown, waive or modify such denial of benefits for such reasons.”

The Review Board, one member dissenting, answered the question in the negative. We quote portions of the majority and controlling decision as follows:

*579 “STATEMENT OF FACT:
“The employer is engaged in the operation of a large oil refinery at Whiting, Indiana. It has a contract with the Union to which the claimants and each of them were either members of or eligible for membership in during the term of their employment with this employer, and which governed the conditions of employment of the claimants herein while employed by the employer.
“This contract provides that the parties thereto will abide by the decisions of the Arbitrators appointed to resolve disputes between the Union and the employer.
“In June, 1939 the matter of whether or not the employer should discontinue the employment of married women was submitted to an Arbitrator for decision. Among other things not here pertinent the Arbitrator ruled that ‘Any woman who marries after July 1, 1939, shall leave the services of the Company within a period not exceeding 30 days after date of marriage.’
“During the war years this question was again submitted for arbitration at the insistence of the employer, in an effort to alleviate the labor shortage. After hearing, the Arbitrator set aside the above mentioned decision and ruled that the employer should be permitted to employ married women. After the termination of hostilities the Union brought up the subject of the employer employing married women and requested that since the labor situation had eased considerably the Arbitrator’s decision authorizing the employment of married women should be set aside and the original decision of the Arbitrator, prohibiting employment of married women, be re-instated. The employer would not agree to the Union’s request and again the matter was submitted to an Arbitrator for decision. On the 3rd day of December, 1945 the Arbitrator handed down his decision which set aside the decision authorizing the employment of married women and re-instated the decision rendered in June, 1939 supra.
“The claimants and each of them were unmarried females at the time they entered the em *580 ployment of this employer. Each of them became married during the term of their employment and either quit at the request of the employer or were discharged by the employer in accordance with the aforementioned decision of the Arbitrator.
“Some of the claimants admit that they were at all times cognizant of the fact that a female employee, whose conditions of employment were governed by the aforementioned bargaining agreement, could not continue in employment for more than 30 days after marriage. Others deny such knowledge, but their position is rather untenable, since the provision had been strictly enforced for some-time, and the employer contended that all female employees were personally advised by the management that their employment would have to be discontinued should they become married.”
“FINDINGS AND CONCLUSIONS:
“The Review Board finds that claimants herein did not voluntarily quit their employment to marry. The agreement existing as a result of the Arbitrator’s decision which prohibits the employer from continuing in its employment female employees after marriage is not binding upon the Indiana Employment Security Division. We have on occasion held that an individual constructively quits his employment voluntarily when he voluntarily commits an act for which he .knows the employer will be required, under the terms of the bargaining agreement, to discontinue his services. However, in those cases the penalty was not so severe and the question of public policy not involved. The provision of the bargaining agreement here involved is in our opinion contrary to public policy in that it tends to discourage marriage or at least discriminates against those who do marry and for this reason we will not invoke the constructive theory of voluntary leaving employment.”
“DECISION:
“The Review Board holds that the claimants and each of them did not voluntarily quit their *581 employment to marry and that their wage credits are not subject to cancellation under Section 1507 of the Indiana Employment Security Act.”

Under the circumstances attending its instatement and re-instatement, the rule requiring- a woman who married to leave the services of the company within 30 days after her marriage became fully binding upon each of the claimants. It became a part of their contract of employment. They were entitled to its benefits and were encumbered by its burdens. In legal effect they voluntarily agreed that marriage would constitute an act which would terminate the relationship of employer and employee. Brisbin v. E. L. Oliver Lodge No. 335 of Brotherhood of Railway Clerks (1938), 134 Neb. 517, 279 N. W. 277; Moen v. Director of Division of Employment Security (1949), 324 Mass. 246, 85 N. E. 2d 779; Yazoo, etc. R. Co. v. Webb, 64 F. 2d 902 (CCA 5th, 1933) ; Re. Buffelen Lumber, etc. Co. (1948), 32 Wash. 2d 205, 201 P. 2d 194; Rentschler v. Missouri, etc., R. Co. (1934), 126 Neb. 493, 253 N. W. 694, 95 A. L. R. 1; Mattey v. Unemployment Compensation Board of Review (1949), 164 Pa. Super. 36, 63 A. 2d 431.

The Board found that the claimants did not voluntarily quit their employment to marry. In the sense that they did not freely choose to substitute the security afforded by marriage for the security afforded by employment, thus voluntarily withdrawing from the labor market, the finding was correct.

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Related

Adams v. Rev. Bd. Ind. Emp. SEC. Div.
143 N.E.2d 564 (Indiana Supreme Court, 1957)
Indiana Forge & MacHine Co. v. Review Board
89 N.E.2d 226 (Indiana Court of Appeals, 1949)
Bedwell v. Review Board of Indiana Employment Security Division
88 N.E.2d 916 (Indiana Court of Appeals, 1949)

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88 N.E.2d 567, 119 Ind. App. 576, 1949 Ind. App. LEXIS 210, Counsel Stack Legal Research, https://law.counselstack.com/opinion/standard-oil-co-v-review-board-of-indiana-employment-security-division-indctapp-1949.