JAMIELYN GERARD VS. BOARD OF REVIEW, DEPARTMENT OF LABOR (BOARD OF REVIEW, DEPARTMENT OF LABOR) ( 2017 )


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  •                         NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court."
    Although it is posted on the internet this opinion is binding only on the
    parties in the case and its use in other cases is limited. R.1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-2667-15T4
    JAMIELYN GERARD,
    Appellant,
    v.
    BOARD OF REVIEW and
    SURFACE SOURCE
    INTERNATIONAL, INC.,
    Respondents.
    ——————————————————————————
    Argued August 8, 2017 – Decided September 12, 2017
    Before Judges Hoffman and Currier.
    On appeal from the Board of Review, Department
    of Labor, Docket No. 021,548.
    Michael   DiChiara  argued   the  cause   for
    appellant (Krakower DiChiara, LLC, attorneys;
    Mr. DiChiara, on the briefs).
    Peter H. Jenkins, Deputy Attorney General,
    argued the cause for respondent Board of
    Review (Christopher S. Porrino, Attorney
    General, attorney; Melissa Dutton Schaffer,
    Assistant Attorney General, of counsel; Mr.
    Jenkins, on the brief).
    Respondent Surface International, Inc., has
    not filed a brief.
    PER CURIAM
    Claimant Jamielyn Gerard appeals from the February 8, 2016
    final agency decision of the Board of Review (Board), rejecting
    her claim for unemployment benefits.             Claimant worked as an
    administrative assistant for Surface Source International, Inc.
    (SSI) from February 2008 until she sent an email resigning in
    April 2014.    Claimant argues she had good cause to quit her job
    because her coworker continuously harassed her for over three
    years,   and   SSI   failed   to   take   effective   steps   to   stop   the
    harassment.    We agree and reverse.
    I.
    Claimant filed for unemployment benefits on April 20, 2014.
    On July 13, 2014, a Deputy Director (Deputy) of the Division of
    Unemployment and Disability Insurance Services determined claimant
    disqualified for benefits on the ground she left work voluntarily
    without good cause attributable to the work.
    Claimant appealed the Deputy's determination, and the Appeal
    Tribunal (Tribunal) held a hearing on July 10, 2014.                Claimant
    testified that about a year into her employment, she found her
    "manager hooking up with the warehouse manager."                   After she
    confronted her manager about it, the warehouse manager "started
    having this vendetta against" her.
    He would call me names; everything from, "Mama
    Gorda, you bitch, you . . . [.]" Many verbal
    names; anything he could say to hurt me. He
    2                                       A-2667-15T4
    was commenting on the type of clothes I was
    wearing, the type of underwear I had on. He
    . . . stole personal property out of my desk,
    he vandalized my desk. He physically harassed
    me[.]   [H]e touched me from behind, he had
    grabbed me.    We . . . got into a physical
    altercation where he took me and slammed me
    into his desk.
    Claimant further stated, "I was not physically injured, but
    yes . . . I did hurt."        She did not call the police because her
    bosses "assured" her "that something like this would never happen
    again."    She added that she did not file a police report "out of
    fear."    Claimant said this happened "about three years ago."        When
    she   previously   reported    the   warehouse   manager   touching   her
    buttocks, her manager replied, "[T]hat's just how he is."
    Claimant explained, "I went to . . .       my boss and my manager,
    I explained what had happened, I was very upset, I was crying."
    Her bosses said their lawyers recommended installing "security
    cameras," but they never followed this advice.        One of her bosses
    told her the warehouse manager "was warned, and if he did anything
    to me again[,] he would be fired."
    According to claimant, the warehouse manager continued to
    call her names, especially "Mama Gorda."         He would swear at her,
    "just anything that hurts."       She further testified, "And he has
    done so much things to me, and I have continuously met with them
    and spoke with them and told them all this, and . . . they never
    did anything to help the situation."       SSI's owner told her "that
    3                                     A-2667-15T4
    the devil he knows is better than the devil he doesn't know . . .
    even though he was harassing me and tormenting me."
    Claimant further explained,
    . . . I was so stressed from all of this that
    my health was deteriorating.      I saw seven
    doctors in the past year, and I've spent like
    hundreds of dollars in co-pays because of all
    this stress, and my boss was accusing me of
    forging doctor's notes.     And with all this
    happening I just needed to . . . take my health
    seriously[.] I was tired of being harassed,
    and so I resigned.
    Claimant's symptoms included stomach problems, chest pain, and
    trouble    sleeping;   she   saw   various   doctors,   including     a
    pulmonologist, a cardiologist, and a gastroenterologist.     "[T]hey
    found nothing, and . . . all said that it was the stress from
    work."
    By April 2014, claimant "was tired of being harassed," so she
    sent SSI's owner an email resigning, effective immediately.         She
    did not quit earlier because she "really" liked the position;
    "[i]t's just every time [the warehouse manager] would do something
    to me[,] and I would have a meeting with them, . . . they would
    assure me that things were gonna get better, and they would for a
    couple weeks, and then it would just start back up again."          She
    also explained that "it's hard to find work these days."
    Claimant's manager was the employee representative during the
    hearing.   She agreed claimant had reported the warehouse manager
    4                              A-2667-15T4
    physically and verbally harassed her.    She said that "we would go
    to him, and he'd say he didn't do anything;"    however, after the
    warehouse manager slammed claimant into his desk, "we had him sign
    a written warning for violence in the workplace."    Additionally,
    "we offered the hidden cameras," but claimant "insisted that that
    was not necessary."   She also testified that she verbally reviewed
    SSI's harassment policy with her employees, but she did not post
    any of the information at the facility nor did SSI have an employee
    handbook.
    SSI's owner testified that he met with claimant after the
    warehouse manager slammed her into his desk, and he issued the
    warehouse manager a written warning that SSI would fire him "if
    there is any violence in the workplace" again.      The owner also
    said claimant told him that she did not want him to install any
    cameras because "she felt uncomfortable with cameras."    The owner
    claimed he did not know of any other incidents involving claimant
    and the warehouse manager.       "[T]he only issues that were ever
    brought up to my attention were that [claimant] does not . . . get
    along with [the warehouse manager].     It was never brought to my
    attention that somebody saw something.     It was never brought to
    my attention that there was further touching of any kind."         He
    said he offered to pay for claimant's internet at home, so she
    could work there, but claimed she declined the offer.
    5                              A-2667-15T4
    The Tribunal accepted the testimony of claimant's manager and
    SSI's owner, and consequently found that "claimant never presented
    any issues or concerns to management after" they issued the
    warehouse manager a written warning about workplace violence.           The
    Tribunal therefore concluded that claimant was "disqualified for
    benefits . . . , under [N.J.S.A.] 43:21-5(a), as she left work
    voluntarily   without   good   cause    attributable   to   such    work."
    Claimant appealed and the Board remanded because "a complete and
    audible record of the hearing [was] not available for review."
    The Tribunal held another hearing, and received testimony
    generally consistent with the first hearing; however, one new
    detail emerged.   Claimant testified she had a meeting with her
    manager and SSI's owner in January 2014.      At the meeting, she told
    them that the warehouse "always" made her "feel unsafe," and "it
    was getting worse."     The owner then asked her "if . . . something
    would cause this behavior," apparently suggesting claimant may be
    doing something to elicit the warehouse manager's conduct.              The
    owner told claimant she worked in "a small office and . . . needed
    to be able to deal with it."       When claimant tried to express that
    she should not "have to work in an uncomfortable environment," the
    owner told her "to get over it and accept it."     After this meeting,
    claimant said the warehouse manager continued to harass claimant
    "physically, mentally, sexually, and verbally."        She recalled,
    6                                   A-2667-15T4
    One day he'd be making cat calls and whistling
    at me, continuing to comment on how I looked,
    making sexually inappropriate comments, the
    next day calling me horrible names and
    verbally harassing me. . . . He stole things
    out of my desk.
    Claimant told her manager, but "she did nothing."
    At   some   point   thereafter,   the   warehouse    manager     "poured
    [something on the] side of [her] desk so that it would smell
    . . . .   [H]e got caught . . .    [and] had to pay a cleaning service
    to remove the smell and was fired."      However, soon thereafter, SSI
    inexplicably rehired him, and told claimant "he won't do anything
    to you again."     She told them that she "felt unsafe around him,"
    but "they didn't really ask [her] opinion."          Claimant testified
    the warehouse manager resumed harassing her until she resigned.
    At this hearing, claimant also explained that "Mama Gorda" meant
    "fat mama."
    SSI's owner testified that he scheduled the January 2014
    meeting because other employees were asking whether "everything
    was okay" with claimant. The owner said, "[W]e sat with [claimant]
    to make sure that . . . she was happy[, and] we did ask, and she
    said she was happy."      In the next sentence, the owner qualified
    this statement by noting that claimant did express that she had a
    problem   with   the   warehouse   manager   "whistling   .   .   .   in   the
    warehouse."      The owner said he then spoke with the warehouse
    manager, who admitted whistling, but said it was not directed at
    7                            A-2667-15T4
    claimant.     The owner said he told the warehouse manager to stop
    whistling.    At the close of the January 2014 meeting, the owner
    said he asked claimant "to adjust her attitude and become more of
    a team player[,] and we're a small operation[,] and everybody has
    to get along."     She told him that "she'll never get along with"
    the warehouse manager.     He said, "If anything else is to happen,
    put it in writing and let me know."
    Following this second hearing, the Tribunal found that it
    could   not   "dispute   the   claimant's   allegations   regarding   her
    problems she experienced with her co-worker during her employment
    period," but also noted that SSI's owner "testified . . . claimant
    never presented any problems after a meeting to discuss her
    attitude [in January 2014]."        The Tribunal consequently found that
    "there is insufficient evidence to support           . . . claimant's
    testimony [that SSI] failed to bring some resolution to the
    matter[;] therefore, [claimant] failed to meet the burden of proof
    requirement for good cause."
    Claimant again appealed, and the Board remanded the claim for
    a third hearing, this time for the Tribunal "to consider medical
    evidence submitted by . . . claimant and to make a decision as to
    whether . . . claimant's leaving was with good cause attributable
    to work."
    8                                A-2667-15T4
    The Tribunal's third hearing lasted two days, March 18, and
    July 17, 2015.    Claimant testified she had "horrible chest pains
    and . . . headaches" while she worked for SSI; she also had
    "stomach    pains."       She   saw   "a   cardiologist,      pulmonologist,
    gastroenterologist, and general practitioners" for these symptoms.
    The doctors could not find a medical explanation of her pain;             her
    general practitioner told her "the only potential cause was work
    related    stress."   A    social     worker   diagnosed    her   with   post-
    traumatic-stress disorder.        The social worker also "found [her]
    to be depressed . . . by [her] working conditions."                After she
    resigned, claimant's pain "cleared up," and she no longer had "any
    health problems."
    Claimant explained that she did not write her complaints down
    because she would directly report to her bosses in their offices.
    When she told them the warehouse manager "would do scary things
    in front of" her, her bosses said they "would take care of it,"
    but they never did.
    Claimant's social worker also testified.              The social worker
    said that claimant "was depressed and overwhelmed by her working
    conditions."     The social worker "found her committed to her job
    despite the abusive behavior by her co-worker, and not being
    protected by either her manager or her employer."                   She said
    claimant could not "tolerate the abuse" anymore, so she resigned.
    9                                   A-2667-15T4
    Her bosses' failure to stop the harassment left claimant "feeling
    helpless and unprotected."           She concluded that claimant did not
    have "any choice but to exit the situation."                She testified that
    "women in these situations take a long time to get the courage to
    act and often appear sudden when, in fact, it was a building
    situation."
    The Tribunal "acknowledged . . . claimant's former co-worker
    exhibited inappropriate behavior towards her during her employment
    period,"      but   rejected     "claimant's    accusation    that    management
    failed   to    provide    some    resolution    regarding     her    concerns   as
    reasonable."        Instead,   the   Tribunal    found   it   reasonable     that
    "management instructed . . . claimant to submit any future concerns
    or problems with her former co-worker in writing on [1/16/14].1
    The claimant never presented any issues regarding the employee."
    The Tribunal therefore concluded that "[t]his was a personal reason
    and was not attributable to the work."
    Claimant again appealed, and on February 8, 2016, the Board
    affirmed the Tribunal, noting its agreement "with the decision,"
    after "a full and impartial hearing and a complete opportunity to
    offer any and all evidence."           Claimant now appeals to this court
    from the decision of the Board.
    1
    The opinion incorrectly set forth the date 1/16/15.
    10                                           A-2667-15T4
    II.
    The Unemployment Compensation Act (Act), N.J.S.A. 43:21-1 to
    -24.30, provides that an individual shall be disqualified for
    benefits if "the individual has left work voluntarily without good
    cause attributable to such work."         N.J.S.A. 43:21-5(a).     "'[G]ood
    cause attributable to such work' means a reason related directly
    to the individual's employment, which was so compelling as to give
    the individual no choice but to leave the employment."             N.J.A.C.
    12:17-9.1(b). If a claimant resigned "for 'good cause attributable
    to [the] work,' [s]he is eligible for benefits, but if [s]he left
    for personal reasons, however compelling, [s]he is disqualified
    under the statute."    Utley v. Bd. of Review, 
    194 N.J. 534
    , 544
    (2008).   "The burden of proof is on the claimant to establish good
    cause attributable to such work for leaving."             N.J.A.C. 12:17-
    9.1(c).
    Fundamental principles of law guide our decisions governing
    unemployment   compensation.        The   Legislature   designed   the   Act
    primarily to lessen the impact of unemployment that befalls workers
    without their fault.   Brady v. Bd. of Review, 
    152 N.J. 197
    , 212-
    13 (1997).     "The public policy behind the Act is to afford
    protection against the hazards of economic insecurity due to
    involuntary unemployment."     Yardville Supply Co. v. Bd. of Review,
    
    114 N.J. 371
    , 374 (1989) (alteration in original).           Unemployment
    11                                   A-2667-15T4
    compensation law is "remedial in nature . . . [and] must be
    liberally    construed     in   light      of   [its]   beneficent   purposes."
    Teichler v. Curtiss-Wright Corp., 
    24 N.J. 585
    , 592 (1957).
    We   exercise      limited    review       of    administrative     agency
    decisions.    
    Brady, supra
    , 152 N.J. at 210.            We are bound to affirm
    the agency's determination if reasonably based on proofs.                   
    Ibid. "'[T]he test is
    not whether an appellate court would come to the
    same conclusion if the original determination was its to make, but
    rather whether the factfinder could reasonably so conclude upon
    the proofs.'"    
    Ibid. (quoting Charatan v.
    Bd. of Review, 200 N.J.
    Super. 74, 79 (App. Div. 1985)).            However, we may intervene if the
    administrative      agency's    action      was   arbitrary,    capricious,      or
    unreasonable, or it was "'clearly inconsistent with its statutory
    mission or with other State policy.'"             
    Ibid. (quoting George Harms
    Constr. Co. v. N.J. Tpk. Auth., 
    137 N.J. 8
    , 27 (1994)).
    "An individual shall not be disqualified for benefits for
    voluntarily leaving work if he or she can establish that working
    conditions    are    so    unsafe,       unhealthful,    or   dangerous    as    to
    constitute good cause attributable to such work."               N.J.A.C. 12:17-
    9.4.
    In essence, the Tribunal disqualified claimant not on the
    basis of whether the harassing conduct occurred, but rather on the
    basis that she did not first make a written complaint before
    12                                    A-2667-15T4
    resigning, notwithstanding her many verbal complaints, and did not
    specifically identify her reason for resigning in her last email
    to SSI.
    Initially, we conclude that the Tribunal's finding ignores
    the uncontroverted testimony of claimant regarding the long-term
    harassment she endured.      Further, claimant complained to SSI, and
    received assurance that SSI would remedy the situation; however,
    SSI failed to take effective remedial steps, and the harassment
    continued.     Instead of properly addressing the problem, SSI's
    owner made a request of claimant, the victim of the harassment,
    "to adjust her attitude," and to register future complaints in
    writing.
    Claimant was not required to make continuous complaints.           In
    Condo v. Bd. of 
    Review, supra
    , 
    158 N.J. Super. 172
    , 173 (App. Div.
    1978), the claimant complained to his manager about his co-worker's
    threat of physical violence, and despite a warning, the co-worker
    continued the threats.       The claimant did not bring additional
    complaints, which the Tribunal and Board found as a basis to deny
    benefits.    
    Id. at 173,
    175.   We reversed, holding that the failure
    to continue to complain did not provide a valid basis to disqualify
    the claimant.      
    Id. at 175-76.
    In Brady, the Court interpreted "good cause" for leaving
    employment    as    "cause   sufficient   to   justify   an   employee's
    13                               A-2667-15T4
    voluntarily leaving the ranks of the employed and joining the
    ranks of the unemployed."           
    Brady, supra
    , 152 N.J. at 214 (quoting
    Domenico v. Bd. of Review, 
    192 N.J. Super. 284
    , 287 (App. Div.
    1983)).     This court held in Domenico that good cause must be
    compelled by "real, substantial and reasonable circumstances not
    imaginary, trifling and whimsical ones."                      
    Domenico, supra
    , 192
    N.J. Super. at 288.              Whether an employee has good cause for
    terminating       their    employment        is    viewed    through     the   lens    of
    "ordinary common sense and prudence."                   Zielenski v. Bd. of Review,
    
    85 N.J. Super. 46
    , 52 (App. Div. 1964).
    After   considering        the       testimony      from   the   hearings,      we
    conclude that claimant resigned from her employment with SSI for
    good   cause   attributable        to       the    work.     Claimant    legitimately
    believed that the work environment was harmful to her health.
    Given the previous assault, and continuing harassment, her belief
    was    premised    in     fact   and    was       not   "imaginary,     trifling,     and
    whimsical."       
    Domenico, supra
    , 192 N.J. Super. at 288.                     In sum,
    claimant left her employment out of a genuine and reasonable
    concern for her personal health and subsequent to SSI's failure
    to take reasonable and promised steps to ensure the harassment
    ended.
    The Board has the "authority to engage in a plenary, [de
    novo] review of the evidentiary record; i.e., to make findings
    14                                       A-2667-15T4
    independent of those made on the Appeal Tribunal level, and to
    conduct further evidentiary hearings."   Messick v. Bd. of Review,
    
    420 N.J. Super. 321
    , 326 (App. Div. 2011).   Here, the Board chose
    not to do so.   Rather, the Board affirmed and adopted the findings
    of fact of the Tribunal.      In the absence of making independent
    findings, the Board's conduct is measured by that of the Tribunal.
    In adopting the Tribunal's findings disqualifying claimant, we
    hold the Board acted arbitrarily and capriciously.
    Reversed and remanded for a determination of benefits.        We
    do not retain jurisdiction.
    15                            A-2667-15T4