I don't think the connection type matters here, but there are places it does matter. For example, with a Custom Query activity, any tokens you are using within the query would use variable names with a connection string, but would use the ? character with ODBC. Since you are using the Query Data activity, that particular detail shouldn't matter.
Is the object vmTermedTeamMember the name of the table/view that you are trying to query or another table/view that is referenced within the database? Does the user that Workflow is using to connect to the database have permissions to access this vmTermedTeamMember object?
Your screenshot shows the query with four values, but only one is listing something. Is that intentional? With those included in your Query Criteria, but listing blank, it's like setting them in your WHERE statement with values equal to empty strings (WHERE EmployeeType = ''). You only need to list the items here that you are specifically searching for.
You also asked about accessing the tokens from the result set. The best way to do that is to use a "For Each Row" loop activity after your query, then within that loop, you can reference the tokens from the For Each Row activity (they'll be something like %(ForEachRow_EmployeeType) - you should be able to find them in the token picker). You do have to have a successful Test of your Query Data activity before the tokens will show in the picker - every single column in the table/view should be available as tokens since the Query Data activity works like a SELECT * statement.