Turner v. Letterkenny Federal Credit Union

505 A.2d 259, 351 Pa. Super. 51, 1985 Pa. Super. LEXIS 10528
CourtSupreme Court of Pennsylvania
DecidedDecember 27, 1985
Docket00456
StatusPublished
Cited by39 cases

This text of 505 A.2d 259 (Turner v. Letterkenny Federal Credit Union) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Turner v. Letterkenny Federal Credit Union, 505 A.2d 259, 351 Pa. Super. 51, 1985 Pa. Super. LEXIS 10528 (Pa. 1985).

Opinion

CIRILLO, Judge:

This an appeal from a judgment entered in the Court of Common Pleas of Franklin County. Appellant asserts that the trial court erred in denying appellant’s motions for judgment n.o.v. and a new trial. A jury rendered a verdict in appellees’ favor, finding that appellant’s credit union had wrongfully discharged him. We reverse.

Appellee was discharged from the credit union in January of 1982 after a six-year employment tenure. During most of appellee’s term of employment, he was given generally favorable evaluations for his performance as a manager. However, beginning in 1978, appellee’s evaluation reports in the categories of supervision and personnel management ranged from “below desired levels” to very disappointing. One particular problem was appellee’s relationship with those employees under his supervision. The board of directors discussed this problem with appellee on one occasion, yet it remained a constant issue with members of the board. Eventually the board called a special meeting at *53 which time the directors voted unanimously to dismiss appellee.

On January 4, 1982, after appellee had returned from vacation and less than one month after the special board meeting, the board president gave appellee notice in the form of a letter from the board that his services were no longer needed by the credit union and that appellee’s employment was to be terminated effective immediately with appellee receiving ninety days termination pay. No reason was given for the termination.

Historically, Pennsylvania has recognized an employer’s unfettered right to discharge an at-will employee for any or no reason in the absence of a contractual or statutory prohibition. Henry v. Pittsburgh and Lake Erie Railroad Company, 139 Pa. 289, 21 A. 157 (1891). That right has been tempered with the emergence of the common law doctrine of wrongful dismissal whereby an employee may premise a cause of action on either tort or contract principles. H. Perritt, Employee Dismissal Law and Practice (1984). Appellee in the instant case only raised the assertion at trial that he was discharged in an abusive manner; he was clearly an at-will employee and there was no contention that a contract, implied or actual, existed between appellee and the credit union. Cf., Richardson v. Charles Cole Memorial Hospital, 320 Pa.Super. 106, 466 A.2d 1084 (1984); Njoku v. University of Pittsburgh, et al., 131 P.L.J. 137 (1983). Accordingly, the only issue before this Court is whether appellee’s discharge falls within the limited exception that has emerged in this State allowing recovery for a termination of employment that has violated a significant and recognized public policy. Novosel v. Nationwide Insurance Company, 721 F.2d 894 (3rd Cir.1983). We find that it does not.

Courts have often grappled with the difficult task of determining which activities should be protected in furtherance of public policy. Murg. Scharman, Employment at will: Do the Exceptions Overwhelm the Rule?, 23 B.C.L. Rev. 329 (1982). Some courts look to legislation including *54 administrative rules, regulations and decisions, and also to judicial decisions, in determining whether an employee’s activity is protected by a significant public policy. Pierce v. Ortho Pharmaceutical Corporation, 84 N.J. 58, 72, 417 A.2d 505, 512 (1980). Many other courts have refused to recognize the tort of wrongful discharge absent a legislative enactment protecting the activity of the employed. This Court has found that the precise extent to which public policy limits an employer’s free reign over his business can only be determined on a case by case basis. Yaindl v. Ingersoll Rand Company, 281 Pa.Super. 560, 572, 422 A.2d 611, 617 (1980).

The leading Pennsylvania case on termination of at will employees is Geary v. United States Steel Corp., 456 Pa. 171, 319 A.2d 174 (1974). Our Supreme Court held that where no clear mandate of public policy is violated by a termination, an employee has no right of action against his employer. The court made clear that an essential element in permitting a cause of action for wrongful discharge was a finding of a clearly defined mandate of public policy. Id. 456 Pa. at 185, 319 A.2d at 180. In Geary, the Court found there was no wrongful discharge because the employer did not discharge the employee with the specific intent either to harm him or to coerce him to break any law or otherwise compromise himself. Id. In a case following Geary, this Court upheld a wrongful discharge cause of action because it clearly violates public policy to discharge an employee whose absence from work is due to his serving jury duty. Reuther v. Fowler and Williams, Inc., 255 Pa.Super. 28, 31, 386 A.2d 119, 120 (1978). However, in Yaindl, supra, we expressly denied relief to an employee who had alleged wrongful discharge as a result of a termination which he asserted was personally motivated. Yaindl, supra. Outcomes similar to Yaindl have appeared in two federal district court cases applying Pennsylvania law. Boresen v. Rohmand Haas, Inc., 526 F.Supp. 1230 (E.D.Pa.1981) and Adams v. Buddco, 583 F.Supp. 711 (E.D.Pa.1984).

*55 In Boresen the court held that arguably unfair conduct on the part of an employer when terminating an employee was insufficient to give rise to a cause of action for wrongful discharge. In Adams it was held that Pennsylvania’s narrow public policy exception to the employment at will rule did not apply where an employee was terminated after reporting defects in the company’s products to his superiors.

The trial court in the instant case acted properly in finding the case by case approach applicable. Nonetheless, its implicit conclusion that this case fell within the “at-will public policy exception” was incorrect. It is clear that Geary, Yaindl, Boresen, and Adams demonstrate a pattern of favoring the employer’s interest in running its business. However, in Yaindl we did recognize that when determining whether or not an employee has a cause of action for wrongful discharge, “we must weigh several factors, balancing against an employees interest in making a living, his employers interest in running his business, the motivation for discharging an employee, the manner of effecting the discharge, and any social interests or public policies that may be implicated in the discharge.” Yaindl, supra, 281 Pa.Super. at 577, 422 A.2d at 620.

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Bluebook (online)
505 A.2d 259, 351 Pa. Super. 51, 1985 Pa. Super. LEXIS 10528, Counsel Stack Legal Research, https://law.counselstack.com/opinion/turner-v-letterkenny-federal-credit-union-pa-1985.