Stauffer v. Unemployment Compensation Board of Review
74 A.3d 398
| Pa. Commw. Ct. | 2013Background
- Petitioner Cathy Stauffer, a non-business individual, employed outside the home and sought unemployment benefits.
- Claimant Dana Cramer babysat for Petitioner for several years, averaging substantial weekly hours.
- Five or six other babysitters, including Claimant’s mother, also watched Petitioner’s children; no written contract existed.
- Claimant was paid $10/hour or a flat $75 overnight fee; she issued invoices and reported income as self-employment profits.
- In 2011 Petitioner paid Claimant about $10,345; taxes were not withheld and the payments were recorded by Petitioner on her own tax forms.
- The Board upheld Claimant’s ineligibility under 402(b) but later this Court reversed on the employer-employee issue, concluding Petitioner was not Claimant’s employer.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Claimant is an employee or independent contractor | Stauffer asserts Claimant is an employee due to direction on schedule and needs. | Board found employee status based on scheduling direction and full-time work interpretation. | Claimant is not an employee; independent contractor status established. |
| Whether the Board’s findings on control and schedule are supported by substantial evidence | Board’s findings lacking substantial support; record shows freedom to work for others. | Board relied on factual findings that Claimant was directed by scheduling needs. | Board's findings not supported by substantial evidence; reversal warranted. |
| Whether Claimant’s freedom to accept assignments and work for others establishes independence | Claimant could accept/reject assignments and work for others; no exclusive control. | Claimant’s ability to accept assignments indicates independence. | Factor supports independent contractor status. |
Key Cases Cited
- Danielle Viktor, Ltd. v. Department of Labor and Industry, Bureau of Employer Tax Operations, 586 Pa. 196 (Pa. 2006) (freedom to accept assignments key to independent contractor status; multi-factor test)
- Stage Road Poultry Catchers v. Department of Labor and Industry, Office of Unemployment Compensation Tax Services, 34 A.3d 876 (Pa. 2011) (two-pronged test; control over time/place/manner; independent business factors)
- Quality Care Options v. Unemployment Compensation Board of Review, 57 A.3d 655 (Pa. Cmwlth. 2012) (multi-factor framework for employment vs. independent contractor)
- Jia v. Unemployment Compensation Board of Review, 55 A.3d 545 (Pa. Cmwlth. 2012) (definition of control/direction and freedom to work otherwise)
- CE Credits Online v. Unemployment Compensation Board of Review, 946 A.2d 1162 (Pa. Cmwlth. 2008) (on-the-job training and control distinctions analyzed)