Opinion ID: 1375718
Heading Depth: 1
Heading Rank: 3

Heading: employment-related misconduct

Text: A. Standard of review In appeals from the Industrial Commission, this Court is limited to reviewing questions of law. Idaho Const. art. V, § 9; Welch v. Cowles Publ'g Co., 127 Idaho 361, 363, 900 P.2d 1372, 1374 (1995) (citing Hart v. Deary High Sch., 126 Idaho 550, 552, 887 P.2d 1057, 1059 (1994)). We will disturb the Commission's findings of fact only where they are not supported by substantial and competent, though conflicting, evidence. Idaho Const. art. V, § 9; Welch, 127 Idaho at 363, 900 P.2d at 1374 (citing Hart, 126 Idaho at 552, 887 P.2d at 1059); Spruell v. Allied Meadows Corp., 117 Idaho 277, 278, 787 P.2d 263, 264 (1990) (citing Kyle v. Beco Corp., 109 Idaho 267, 270, 707 P.2d 378, 381 (1985)). This Court has defined substantial and competent evidence as such relevant evidence as a reasonable mind might accept as adequate to support a conclusion. Welch, 127 Idaho at 365, 900 P.2d at 1376 (citing Laundry v. Franciscan Health Care Ctr., 125 Idaho 279, 282, 869 P.2d 1374, 1377 (1994)). Although this Court will set aside the Commission's order if it is not supported by the record, we will not overrule the Commission's findings solely on the ground that we might have reached a different conclusion. Avery v. B & B Rental Toilets, 97 Idaho 611, 613-14, 549 P.2d 270, 272-73 (1976); Welch, 127 Idaho at 363, 900 P.2d at 1374 (citing Spruell, 117 Idaho at 279, 787 P.2d at 265). The question of whether an employee's behavior constitutes misconduct in connection with employment pursuant to I.C. § 72-1366(e) is a question of fact, and we will uphold the Commission's determination of this issue if supported by substantial and competent evidence. Welch, 127 Idaho at 364, 900 P.2d at 1375 (citing Taylor v. Burley Care Ctr., 121 Idaho 792, 793, 828 P.2d 821, 822 (1991); Goolsby v. Life Savers, Inc., 107 Idaho 456, 459, 690 P.2d 911, 914 (1984)). The Commission in its Decision and Order mistakenly asserted that the issue of whether intentional insubordination amounts to misconduct is a question of law, citing Avery, 97 Idaho at 614, 549 P.2d at 273. This Court, however, has disagreed with this aspect of Avery and held that the question of whether an employee's behavior constitutes misconduct is one of fact. Gatherer v. Doyles Wholesale, 111 Idaho 470, 472 & n. 1, 725 P.2d 175, 177 & n. 1 (1986). Thus, although the Commission labeled the bulk of its Decision and Order CONCLUSIONS OF LAW, the Commission actually made findings of fact with regard to whether the District discharged Folks for employment-related misconduct, and we will review these findings as such. The Commission's sole conclusion of law was the determination that, because Folks had not been discharged for misconduct in connection with her employment, she was entitled to unemployment benefits. B. Framework I.C. § 72-1366(e) provides that an employee who has been discharged is eligible for unemployment benefits so long as his discharge was not for misconduct in connection with his employment. Misconduct in connection with employment is defined as one of the following: 1. A willful, intentional disregard of the employer's interest; 2. A deliberate violation of the employer's reasonable rules; or 3. A disregard of the standards of behavior which the employer has a right to expect of his or her employees. IDAPA 09.01.30.331.01-.03; Wulff v. Sun Valley Co., 127 Idaho 71, 74, 896 P.2d 979, 982 (1995) (citing Campbell v. Bonneville County Bd. of Comm'rs, 126 Idaho 222, 225, 880 P.2d 252, 255 (1994)); Johns v. S.H. Kress & Co., 78 Idaho 544, 548, 307 P.2d 217, 221 (1957). The burden of proving employment-related misconduct lies with the employer. IDAPA 09.01.30.331.06; Parker v. St. Maries Plywood, 101 Idaho 415, 419, 614 P.2d 955, 959 (1980). C. Intentional insubordination The District argues that Folks' April 21 outburst constituted intentional insubordination amounting to misconduct, which is defined as a deliberate or wilful refusal by an employee to obey a reasonable order or directive which an employer is authorized to give and entitled to have obeyed. Avery, 97 Idaho at 614, 549 P.2d at 273 (footnote omitted). Although an employer's expectation that an employee will not engage in protracted argument with his employer is objectively reasonable, a single incident of comparatively nonserious disrespect by complaining and arguing is not misconduct. Id. at 614-15, 549 P.2d at 273-74. Initially, it is important to clarify where intentional insubordination fits for the purposes of analyzing misconduct. Our previous intentional insubordination cases do not clearly specify within which of the three categories of misconduct such behavior falls, although this Court appears to have analyzed them under the disregard of standards of behavior prong. See, e.g., id. at 614, 549 P.2d at 273 (Misconduct, which will disqualify a claimant from receiving employment benefits under the Employment Security Act, includes a disregard of standards of behavior which the employer has a right to expect of his employee. (footnote omitted)); Ortiz v. Armour & Co., 100 Idaho 363, 366, 597 P.2d 606, 609 (1979) (It is the conclusion of this Court that the claimant did violate the standards which his employer had a right to expect of him at this time.). This appears to be the most appropriate of the three categories for purposes of analysis. Intentional insubordination is merely one way by which an employer can prove misconduct as a disregard of the standards of behavior which the employer has a right to expect. In standard of behavior cases, this Court employs a two-prong test: (1) whether the employee's conduct fell below the standard of behavior which the employer had a right to expect, and (2) whether the employer's expectation was objectively reasonable under the circumstances. Matthews v. Bucyrus-Erie Co., 101 Idaho 657, 659, 619 P.2d 1110, 1112 (1980); IDAPA 09.01.30.331.03(a)-(b). The employee's disregard of a standard of behavior need not be subjectively intentional or deliberate. Matthews, 101 Idaho at 659, 619 P.2d at 1112. See, e.g., Avery, 97 Idaho at 614, 549 P.2d at 273; Ortiz, 100 Idaho at 366, 597 P.2d at 609. The intentional insubordination cases draw our focus more closely to the first prong whether the employee's insubordination was such that it fell below a standard which the employer had a right to expect. Applying Avery to the instant case, substantial and competent evidence supports the Commission's finding that the April 21 argument constituted a single incident of comparatively nonserious disrespect which did not rise to the level of misconduct. To determine whether the April 21 outburst was an episode of comparatively nonserious disrespect, we must consider the nature of the relationship between Lee and Folks and the source of tension between them. The record before the Commission established that Lee and Folks had worked together as teachers for a long period and that they had frequently used profane language in each others' presence; that after Lee's promotion to principal, their relationship remained informal but turbulent; and that Folks often visited him in his office to express her dissatisfaction with the administration using profanities. In addition, Folks was in an emotional state of mind due to a myriad of personal problems of which Lee was aware. She had received upsetting news the previous day regarding the cancellation of the school's orchestra program, her main work, and was still distraught. In light of their relationship and Folks' state of mind, her statements to Lee and her use of obscenities on April 21 constituted a comparatively nonserious instance of disrespect. Furthermore, substantial and competent evidence supports the finding that Folks' outburst did not constitute a willful or deliberate act, a requirement necessary to support a finding of intentional insubordination. As discussed above, the Commission found that Folks was under extreme emotional stress. Rather than deliberately refusing to follow Lee's direction that they continue their discussion in his office, substantial and competent evidence supports the finding that her conduct was an emotional, knee-jerk reaction to a stressful situation. Because she lacked the requisite intent, Folks' behavior did not rise to the level of intentional insubordination. D. Disregard of standards of behavior In its decision, the Commission also addressed whether Folks' conduct might be a violation of the standards of behavior apart from intentional insubordination. The District argues that Folks' April 21 outburst constituted a disregard of the standards of behavior which the District had a right to expect, regardless of whether her conduct was willful, intentional, or deliberate. This part of the Commission's analysis focused on the second prong of the Matthews test: whether the employer's expectations were objectively reasonable under the circumstances. Whether the employer's expectations were objectively reasonable is a question of fact. Davis v. Howard O. Miller Co., 107 Idaho 1092, 1094, 695 P.2d 1231, 1233 (1984). The Commission found that the District's expectations in this case were unreasonable and thus that Folks' failure to meet these standards did not constitute misconduct related to her employment. Although an employer's expectations are ordinarily reasonable only where they have been communicated to the employee, some expectations and standards of behavior flow normally from an employment relationship and need not be communicated to the employee to support a claim of employment-related misconduct. Wulff, 127 Idaho at 75, 896 P.2d at 983 (quoting Davis, 107 Idaho at 1094, 695 P.2d at 1233). Substantial and competent evidence in the record supports the Commission's finding that the District's expectations were not objectively reasonable. Although the expectation that a junior high school teacher would refrain from using profanity on the job would appear to be a reasonable expectation that flows naturally from the employment relationship, the record supports the finding that Folks had engaged in an ongoing course of conduct with Lee that included the use of profane language. During previous discussions with Lee in which Folks used profanity, Lee did not formally reprimand her but simply requested that she not direct that type of language toward him. Through his acquiescence, Lee led Folks to believe that such conduct was acceptable and that it was not inappropriate or unprofessional. Lee's tolerance of this behavior thus rendered unreasonable any expectations held by the District that Folks not use profane language. We must emphasize at this point what we are not ruling. First, we are not holding that a teacher's use of profanity in school is appropriate behavior. The District had every right to discipline Folks for such behavior in any way it deemed fit. The only issue in this case is whether Folks is eligible for unemployment benefits. Secondly, we are not ruling that an employer loses its right to object to an employee's behavior simply because it has tolerated such conduct in the past. Where an employer passively turns a blind eye to otherwise objectionable conduct on the part of an employee, the employer does not lose the ability to discipline or terminate the employee for behavior which amounts to employment-related misconduct. In the instant case, however, Lee did more than passively tolerate Folks' behavior. For a period of two to three years, Lee continued to communicate with Folks in the same informal manner to which they both had become accustomed when they were teaching colleagues; this included the use of profanities. By not reprimanding Folks when she used such language, Lee indicated to Folks that such behavior was appropriate conduct between them. Lee's behavior in this case thus constituted more than passive acceptance of inappropriate behavior. Our decision in Gatherer v. Doyles Wholesale, 111 Idaho 470, 725 P.2d 175 (1986), in which we upheld the Commission's finding of misconduct on similar facts, does not require that we find that Folks disregarded a standard of behavior which the District had a right to expect. That case is distinguishable from the current case in two respects. Most importantly, in that case, the Commission found misconduct, and we ruled that substantial and competent evidence in the record supported that finding. Id. at 473, 725 P.2d at 178. Here, in contrast, the Commission did not find misconduct, and, as discussed above, substantial and competent evidence supports this finding. Secondly, in Gatherer, the employee repeatedly expressed his dissatisfaction with management policies by shouting at supervisors in front of other employees, and each time the employer told him to express his grievances privately. Id. at 471-72, 725 P.2d at 176-77. In upholding the Commission's finding of misconduct, we noted that the employer's repeated warnings and reprimands created an objectively reasonable expectation that the employee would not engage in such conduct. Id. at 472-73, 725 P.2d at 177-78. In the instant case, however, Folks had not been previously reprimanded, and in fact Lee had formerly accepted her use of profane language; no reasonable expectation comparable to that in Gatherer was formed. E. Conclusion On appeal the District has not challenged the Commission's findings with respect to either of the other two methods of proving employee misconduct. See, e.g., Dietz v. Minidoka County Highway Dist., 127 Idaho 246, 899 P.2d 956 (1995). Thus, these are not issues on appeal. Substantial and competent evidence supports the Commission's finding that Folks' behavior did not constitute employment-related misconduct as a disregard of standards of behavior which the employer had a right to expect.