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UNITED STATES STEEL CORPORATION v. COMMONWEALTH PENNSYLVANIA (03/21/75)

decided: March 21, 1975.

UNITED STATES STEEL CORPORATION, APPELLANT,
v.
COMMONWEALTH OF PENNSYLVANIA, UNEMPLOYMENT COMPENSATION BOARD OF REVIEW, APPELLEE, AND CHARLES H. SNYDER, INTERVENING APPELLEE



Appeal from the Order of the Unemployment Compensation Board of Review in case of In Re: Claim of Charles H. Snyder, et al., No. B-117673.

COUNSEL

James T. Carney, for appellant.

Daniel R. Schuckers, Assistant Attorney General, with him Sydney Reuben, Assistant Attorney General, and Robert P. Kane, Attorney General, for appellee.

Richard F. Kronz, with him Lichtenstein & Bartiromo, for intervening appellee.

President Judge Bowman and Judges Crumlish, Jr., Kramer, Mencer, Rogers and Blatt. Judge Wilkinson, Jr. did not participate. Opinion by Judge Kramer.

Author: Kramer

[ 18 Pa. Commw. Page 73]

This is an appeal by United States Steel Corporation (USS) from an order of the Unemployment Compensation Board of Review (Board), dated June 27, 1973, in which the Board affirmed a referee's award of unemployment compensation benefits to Charles H. Snyder (Snyder).

Snyder was employed as a roller at USS's Duquesne Works when, on November 1, 1970, USS temporarily ceased operations at the bar mill in which Snyder worked. Snyder was then given a position as a laborer at a wage of $2.88 per hour, which he held until June 30, 1972, his date of retirement. At the time Snyder was transferred, his wage as a roller was $5.01 per hour, and, on the date of his retirement, a roller's wage was $5.81 per hour. Snyder was 56 years old when he retired and, under normal circumstances, he could have continued working until age 65.

In April of 1972 USS announced that the bar mill in which Snyder had worked would be closed permanently, and Snyder was presented with two options. He could either continue to work as a laborer at the correspondingly lower rate of pay, or he could retire under the company's "70/80 pension plan" if he retired before June 30, 1972.*fn1 Under this plan, Snyder was to receive his

[ 18 Pa. Commw. Page 74]

    regular pension benefits plus a "supplemental pension" of $105.00 per month, the supplement to end at such time as Snyder reached age 65 (or qualified for social security disability payments). Snyder elected to accept the "70/80 pension" and, in addition, he received a form of severance pay, termed a "special payment," in the amount of $3,014.70. After thus leaving his employment with USS, Snyder applied for unemployment benefits.

This case presents a question of law involving the application of section 402(b)(1) of the Unemployment Compensation Law (hereinafter Act), Act of December 5, 1936, Second Ex. Sess. P.L. (1937) 2897, as amended, 43 ...


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