Chicago Transit Authority v. Didrickson, 1-94-2059

• Decision Date: 22 November 1995
• Docket Number: No. 1-94-2059,1-94-2059
• Citation: 276 Ill.App.3d 773,659 N.E.2d 28
• Parties: , 213 Ill.Dec. 398, 105 Ed. Law Rep. 1169 CHICAGO TRANSIT AUTHORITY, Plaintiff-Appellee, v. Loleta A. DIDRICKSON, Director, Illinois Department of Employment Security, Board of Review, and its members individually, Rolland W. Lewis, John G. Cashman, Stanley V. Mucha, Gary J. Sullivan, Jon R. Walker, Defendants-Appellants, and Tenicia Smith, Defendant.
• Court: United States Appellate Court of Illinois

Page 28

659 N.E.2d 28

276 Ill.App.3d 773, 213 Ill.Dec. 398,

105 Ed. Law Rep. 1169

CHICAGO TRANSIT AUTHORITY, Plaintiff-Appellee, v. Loleta A. DIDRICKSON, Director, Illinois Department of Employment Security, Board of Review, and its members individually, Rolland W. Lewis, John G. Cashman, Stanley V Mucha, Gary J. Sullivan, Jon R. Walker, Defendants-Appellants and Tenicia Smith, Defendant.

No. 1-94-2059.

Appellate Court of Illinois First District, Sixth Division.

Nov. 22, 1995.

Roland W. Burris, Illinois Attorney General, Rosalyn B. Kaplan, Solicitor General, Chicago (Jacqueline M. Zydeck, Assistant Attorney General, of counsel), for appellant.

William H. Farley, Jr., General Counsel at Chicago Transit Authority, and Glenn W. Kaun, Counsel at Chicago Transit Authority, Chicago, for appellee.

Justice ZWICK delivered the opinion of the court:

This matter comes to us on appeal from the ruling of the circuit court, which reversed the decision of the Board of Review, which reversed the determination of the referee, which reversed the finding of the claims adjudicator regarding the eligibility of defendant Tenicia Smith ¹ for unemployment benefits. We now reverse.

Defendant Tenicia Smith was hired by the Chicago Transit Authority (CTA) as a participant in its "summer student program" under which full-time college students are hired on a temporary basis during the summer months to perform the duties of permanent employees who are on vacation or are absent from work for other reasons. The structure of this program requires that participants be enrolled full-time in college at the time of hiring, and must be registered or must intend to register as a full-time student for the fall term following their participation in the program. Each year, the "summer student program" terminates on September 30th, and all applicants are informed of the conditions and duration of the program prior to hiring.

Smith signed an application for a temporary term of employment with CTA on May 13, 1992, which stated that she was "eligible to return to school" and "[would] be registering for the next academic term immediately following this employment." Prior to hiring Smith, the CTA obtained a certification from Chicago State University that she was a full-time student during the term January 6, 1992 through May 15, 1992. Smith was employed as a temporary full-time bus operator from May 14, 1992, until September 30, 1992. Prior to her termination date, Smith decided not to return to school for the 1992 fall term, and she inquired about obtaining permanent employment with the CTA. Because she had not received a response to her request for permanent employment when her employment term under the "summer student program" expired, Smith was obligated to leave her temporary full-time position. Smith thereafter filed a claim for unemployment insurance benefits. The CTA filed an employer's protest, asserting that Smith was disqualified from receiving benefits because she voluntarily left her position. The claims adjudicator allowed Smith's application for benefits, finding that she was discharged by her employer for reasons which did not involve misconduct connected with the work.

The CTA appealed the decision of the claims adjudicator, and an administrative hearing was held before a hearing referee. The CTA's appeal asserted that Smith was not available for work because she was a student. The notice of the hearing which was sent out by the referee indicated that the issues which would be addressed at the hearing included the voluntary leaving provisions set forth in section 601(A) of the Act and misconduct as contemplated by section 602 of the Act. Smith and an Industrial Relations Representative for the CTA testified at the hearing. The employer's representative testified that Smith submitted a written resignation on September 30, 1992. When asked whether Smith could have continued to work for CTA beyond September 30, 1992, the CTA representative responded, "[t]he program ends as of September 30th."

Smith testified that during her summer employment, she decided not to return to school for the 1992 fall term. She testified further that she and the other temporary employees received notice that they could submit written applications if they wanted to be hired as permanent employees. Smith stated that she informed the CTA during her summer employment that she would not be returning to school. She also inquired as to whether any positions would be available in the fall. In addition, Smith sent a letter to the CTA headquarters and to the CTA garage where she worked, stating that she wanted to return to work after September 30, 1992, as a permanent employee. Smith testified that she received no response to her letters.

Smith stated that she resigned on September 30, 1992, only because she was told that it was necessary in order to be considered for permanent employment. Smith said that if she could have continued to work as a permanent employee she would have done so.

The decision of the referee reversed the claims adjudicator's determination that Smith was eligible for benefits. The referee found that when Smith was hired, she told her employer that she would terminate her employment when she returned to school, on or before September 30, 1992. The referee determined that section 601(A) of the Act was applicable and concluded that Smith was disqualified from receiving unemployment benefits because she voluntarily left her job without good cause attributable to her employer.

Smith appealed the referee's decision to the Board of Review. The Board determined that the case was governed by section 602(A) of the Act which provides that claimants are disqualified from receiving benefits under the Act if they have been discharged for misconduct connected with the work. The Board reversed the referee's decision, finding that Smith was discharged for reasons other than misconduct and, therefore, was not subject to the misconduct disqualification set forth in section 602(A) of the Act.

The CTA filed a complaint seeking administrative review of the Board's decision. The circuit court reversed the decision of the Board of Review, concluding that it was against the manifest weight of the evidence and contrary to law. The court held that when Smith agreed to the terms of the summer employment program, she represented to the CTA that she did not want to work beyond September 30, 1992. The circuit court ruled that Smith was disqualified from receiving benefits under section 601(A) because she voluntarily left her job. In so ruling, the court relied primarily upon the opinion in Calkins v. Board of Review (1986), 141 Ill.App.3d 36, 95 Ill.Dec. 358, 489 N.E.2d 920. The Board of Review has appealed, asserting that the circuit court erred in reversing the final administrative decision where it was neither against the manifest weight of the evidence nor contrary to law.

In a case involving a claim for unemployment benefits, the Board of Review is the trier of fact, and its findings of fact are considered prima facie true and correct. (735 ILCS 5/3-110 (West 1992); Grant v. Board of Review (1990), 200 Ill.App.3d 732, 734, 146 Ill.Dec. 475, 558 N.E.2d 438.) The function of a reviewing court is to determine whether the Board's findings were against the manifest weight of the evidence. (Jackson v. Board of Review (1985), 105 Ill.2d 501, 513, 86 Ill.Dec. 500, 475 N.E.2d 879; Nichols v. Department of Employment Security (1991), 218 Ill.App.3d 803, 809, 161 Ill.Dec. 475, 578 N.E.2d 1121.) A reviewing court may not substitute its judgment for that of the agency unless the record lacks substantial evidence to support the agency's findings. (Collier v. Department of Employment Security (1987), 157 Ill.App.3d 988, 993, 109 Ill.Dec. 755, 510 N.E.2d 623.) Although the right to collect unemployment insurance benefits is conditional and the burden of establishing eligibility rests with the claimant, the Act must be liberally interpreted to favor the awarding of benefits. Adams v. Ward (1990), 206 Ill.App.3d 719, 723, 151 Ill.Dec. 782, 565 N.E.2d 53.

The Unemployment Insurance Act was enacted in the interest of the public welfare and is designed to provide compensation in order to alleviate the economic distress occasioned by involuntary unemployment. (820 ILCS 405/100 (West 1994); Wadlington v. Mindes (1970), 45 Ill.2d 447, 452, 259 N.E.2d 257; Miller v. Department of Employment Security (1993), 245 Ill.App.3d 520, 522, 185 Ill.Dec. 740, 615 N.E.2d 35.) The right to collect unemployment benefits under the Act is established by those claimants who have met the eligibility requirements set forth in section 500 (820 ILCS 405/500 (West 1994)) and who are not subject to any of the exemptions or disqualifications specified in the statute. Those exemptions and disqualifications include, inter alia, situations where the claimant is an independent contractor (820 ILCS 405/212 (West 1994)), where the claimant's principal occupation is that of a student (820 ILCS 405/500(C)(4) (West 1994)), where the claimant is unemployed due to a work stoppage which exists because of a labor dispute (820 ILCS 405/604 (West 1994)), where the claimant has refused to apply for or to accept suitable work (820 ILCS 405/603 (West 1994)), where the claimant has been discharged by the employer for misconduct connected with the work (820 ILCS 405/602 (West 1994)), or where the claimant has voluntarily left the employment without good cause attributable to the employer (820 ILCS 405/601(A) (West 1994)).

We agree with the circuit court's determination that the instant case must be analyzed under the voluntary leaving provisions contained in section 601(A) of the Act. However, we disagree with the conclusion that Smith was disqualified from receiving benefits because she voluntarily left her employment when the term of her temporary employment expired.

Section 601(A) of the Act provides as...