Florida Court of Appeals Reverses Unemployment Appeals Commission Decision that Denied Unemployment Benefits to Employee for Isolated Violations of Company Policy
I am happy to report that last week we won an appeal to the Florida Third District Court of Appeals in which we appealed the Unemployment Appeals Commission's denial of unemployment benefits to our client because they claimed that her conduct in violating company policy was "willful misconduct" under the unemployment law and denied her unemployment benefits. Attached is a copy of the Decision of the Third District Court of Appeals.
In the case, our client, who had worked for Carnival Cruise Lines for approximately 15 years, during which time she had no discipline or reprimands, knowingly violated a company policy that prohibited the use of the corporate credit card for personal expenses. However, while she used the corporate credit card for personal expenses, she promptly reimbursed the company for all of the charges. The Unemployment Appeals Referee held that such conduct constituted "willful misconduct" and denied unemployment benefits. The Unemployment Appeals Commission (now known as the Department of Economic Opportunity) affirmed the Decision of the Appeals Referee denying benefits. We appealed the Decision of the Unemployment Appeals Commission based on the general rule under the Florida unemployment law that isolated infractions of company policy with no prior warnings usually amount to no more than poor judgment rather than misconduct within the meaning of the unemployment law.
Under well-established law, the unemployment statute is to be liberally interpreted in favor of a claimant, and its disqualifying provisions are to be construed narrowly in determining whether the employee's actions support the denial of benefits. In fact, even a deliberate violation of company policy may not constitute "misconduct" under the statute where the employee was unaware that the conduct could lead to termination of her employment. Indeed, "misconduct" under the unemployment law usually involves repeated violations of explicit policies after several warnings.
In reversing the decision of the Unemployment Appeals Commission, the Third District Court of Appeals stated that "[A] review of the record demonstrates that the incident for which [the Claimant] was discharged from employment, after an otherwise unblemished fifteen-year career with the employer, amounted to an 'exercise of poor judgment [that] does not amount to misconduct sufficient to support the denial of unemployment compensation benefits.'"