Michigan law provides benefits to persons unemployed through no fault of their own. Thus, a person will be denied unemployment benefits if he left work voluntarily without good cause attributable to the employer. However, situations commonly arise where even without good cause, an employee may still be entitled to unemployment benefits if the employer neglects to record decisions in writing.
The Michigan Court of Appeals recently explored this question in Sheppard v. Meijer. The claimant, Linda Sheppard, requested a two-month leave of absence. Sheppard’s supervisor required a formal written approval from the store director before the leave could be approved. However, due to confusion as to who was to obtain the written approval, Sheppard went on leave without written approval. Ultimately, Sheppard’s employment was terminated. Meijer, citing Sheppard’s unapproved leave of absence, objected to her unemployment claim.
Under MCL 421.29(1)(a), “An individual who is absent from work for a period of 3 consecutive work days or more without contacting the employer in a manner acceptable to the employer and of which the individual was informed at the time of hire shall be considered to have voluntarily left work without good cause attributable to the employer.”
The first step is to determine whether the employee voluntarily left work or was discharged by the employer. The Michigan Court of Appeals has held that when an employee requests a leave of absence, and the employer terminates the employee, that employee has not voluntarily quit. The Court in Meijer determined that Sheppard was actually discharged, making her departure involuntary. Meijer ended up having to pay unemployment benefits, even though Sheppard’s leave was never approved.
Meijer would have avoided needlessly paying unemployment benefits and the cost of litigation had it merely put in writing whether the leave of absence was approved or denied. The key in this situation, as in so many others, is good record-keeping.
This article was written by Law Clerk Roger Leshinsky. Please contact Demorest Law Firm if you have further questions on this issue.
