Employee Situation

[Hog Wild graphics]

I have a good employee that has been with us for 3 years. A company in town that builds trucks has asked him to work nights and weekends installing vinyl graphics on there vehicles. They get the graphics supplied by manufacturer and currently pay another guy to do them. I don't want to prevent him from making extra money but also do want this to turn into a future issue. Plus the company has contacted us about other products like caps and t-shirts but every time they have always find someone somewhere that will do it cheaper. Therefore I think they are just trying to find another cheap way to do things.
What is your opinion on situation?

 

[James Burke]

Sounds like a potential conflict of interest to me.

I hire part time help from a local contractor, but I always go though the boss and don't contact the hire directly. Always. It's more expensive that way, but it continues to build trust and it keeps our working relationship in excellent shape.


JB

 

[Andy D]

I wouldn't have a problem with it unless it interfered with his job there and wasn't a conflict of interest.
Many people have second jobs, that fact that his second job is similar to what he does at you shop isn't relevant.

 

[rdm01]

Has he signed a non-compete? If not you may not be able to do much about, depending on state and national labor laws.

 

[James Burke]

that fact that his second job is similar to what he does at you shop isn't relevant.

I would tend to disagree. How long before the employee starts seeking out wholesale material sources?


JB

 

[fresh]

i don't think you can prevent him from working a second job. sure, you can ask him to sign a non-compete, but I'm pretty sure it wouldn't hold up in court (its not like you have trade secrets in the sign industry, or maybe you do, idk.)

so your options are fire him or let it go. OR pay him the amount that he'll lose by not taking that job.

 

[peavey123]

For those saying it's a conflict of interest...It's only a conflict of interest if they solicited the client while they were on the clock with you. OR you're greedy and feel like you should be getting a piece of the pie. If it's all after hours and not affecting their work than there shouldn't be an issue. If they're a good employee don't ruin your relationship.

 

[TammieH]

You can't foresee the future, what someone may do, or not.

But if he/she is a valued employee, I think you know what you should do.

 

[Andy D]

I would tend to disagree. How long before the employee starts seeking out wholesale material sources?

I'm not sure what you mean, the company isn't a customer of the OP.

 

[Billct2]

I don't see how you can tell someone not to take a second job no matter what it is.
It's not like it's your customer, they're not and never have been.
It could lead to problems, but that's a big maybe.
When I was coming up in the business I always did side jobs, as did all the guys I knew
that worked in a shop.

 

[StarSign]

My biggest worry would be, how it will affect his day job. I think many of us have seen this at one time or another. You have a employee who decides for what ever reason to take a part time job, and they swear they can handle it. After a few weeks they start showing up late, need to leave early, start asking for more days off so they can take care of everyday life things. Next thing you know, it's just a big PITA.

 

[Solventinkjet]

I assume the reason you know is because the employee told you about the situation. He didn't have to. This says more about the employee than anything else. You're going to lose him one day either way. Preventing him from growing personally will make him leave much sooner.

 

[Andy D]

It could lead to problems, but that's a big maybe.

Agreed, it's not an issue until it is. I see companies taking a hard line & creating rules
for these types of things, trying to head of problems before they start.. But all they're
doing is shooting themselves in the foot by creating "anti incentives" to work there.

 

[Bigdawg]

We've had the same types of situation arise here - I've been on both the freelancer and the manager side of things. With a trusted employee, there shouldn't be an issue. He came to you and told you what's going on so obviously he trusts you too. I'd keep an eye on it, but it wouldn't bother me at our shop.

 

[2B]

As long as this work does not interfere with the work they do for you then I see no reason for the install not to happen.

regarding the way I would approach it is inform the employee that you are open to them taking on the side gig but that is a side job and their main focus needs to be their daily job.

I would advise them to treat this as a subcontract project and charge the truck company standard installation pricing ensuring they remember this truck company is a bottom dollar bidder.
And have your employee have this truck customer sign a waiver that they are not responsible for poor material and any issue that comes up while installing is not their responsibility for paying for replacement material

 

[Gino]

Opinion is...... it's gonna hurt you in the long/short run.

Can you stop it ?? Probably not. Mainly because all of the details have been worked out already. You just weren't in on them.


Over the years, we've had many employees working for us who were good at their job. Customers see it and so do other people who need the same kinda worker. How they find out is beyond me, but they find out. Your guy will probably tire from burning the candle at both ends and eventually take the job that pays more.

By the way, does this truck outfit have a union ?? After they know if they want him full time or not, they'll tell him he can no longer work without joining the union. So here's the catch, now he'll have all kindsa money incentives, plus benefits and shorter hours for about the same pay as working both places. You almost won't be able to compete, but do what you see and feel is right and fair. When one door closes, another one always opens..... and many times, it's for the better.

 

[d fleming]

On one hand you have a tire kicker who has never given you any work but has gone behind your back to get your employee that you have 3 years of training invested in to work for less than you will send him to do it. On the other an employee who wants/needs some extra cash and sees no problem with contracting outside of your shop for cheap. Basically being your competition. Ditch them both and get a new intern.

 

[Andy D]

On one hand you have a tire kicker who has never given you any work but has gone behind your back to get your employee that you have 3 years of training invested in to work for less than you will send him to do it. On the other an employee who wants/needs some extra cash and sees no problem with contracting outside of your shop for cheap. Basically being your competition. Ditch them both and get a new intern.

I would take the opposite approach, back in the day when I owned a photography and photo processing company,
I would encourage my photographers to get side gigs, as long as they weren't competing against me or conflicting with my schedule... I would even
let them use my equipment free of charge (if they broke it they would have to replace it). It was a huge benefit to them for working for me and it didn't cost me anything.
Also, they learned so much by having to contract and plan a shoot, that made them better employees for me, I eventually sold that company to one of those photographers.

I would sit down with your employee and try to devise a better plan for him/her to make the money they need, on the side, without having to work for this dickweed trucking company..
and then I would do what I could to help him/her.

The last thing you want is your employee hurting for money.

 

[Kentucky Wraps]

In my state...it's an at will employment state. I can fire an employee just because and they can quit just because.

1. Employee's performance should be judged regardless of what they do on their free time.
2. You have as much say so if they are a video game nut, avid Netflix addict, or work another job.
3. Judging a company because they found more affordable services than yours would make you a hypocrite assuming you practice discretionary spending yourself.
4. Unless your employee is using your time or tools, they aren't doing you wrong. It's only perceived because you think if he didn't do it for them off your clock that they would pay you for him to do it on your clock OR he is helping provide a service to that company where they would be utterly helpless if it weren't for you. BOTH of these are false.
You were too expensive (probably more overhead than your employee) and they could just pay your nearest competition to do it rather than your employee, which would actually hurt you more.
5. Ethically, your employee owes you nothing more than what the work you agreed they would get paid for.

Now, if you have the extra work to have him work overtime, he must or you can let him go (Kentucky). That's one way you could force his hand. By giving him mandatory overtime when you know he would be needed at the other place...and he'll have to choose.
OR, you could just behave like a secure adult business owner and know that your products and services set you apart from your competition and aren't going to be hindered by an employee doing side jobs.
However, if this "employee" is the only way you can make the money you make, your entire business is relying on the wrong person...and they will eventually see that anyway and then what?

 

[T_K]

Coming from an employee who's looking to make some extra money on the side, I've got mixed feelings on this issue. On one hand, I've got a good income from my current company for the work I do. Although it's not enough to get me where I want to be financially, it's pretty close. I don't really have any reason to bail on this job to find another one. But on the other hand, I'm still looking to make more money. What's the best way to make money on a side gig? Do what you know - i.e. something in wide format printing & installing.

It's kind of complicated though. I don't want to jeopardize my current job, but this industry is my best bet on making more money. I do not feel ok with directly competing with my company, as I feel that would be dishonest. Soliciting clients to turn down all or part of our services so that I can do them independently is just wrong. Allowing customers to solicit my services outside of the company after they turned down the company's offer also seems dishonest. I didn't chase them down, but they're trying to undercut the industry - which also includes paying me less. But if I rummage up my own business, that's a different matter - so long as it's not negatively impacting my first job.

I've also thought about looking for a part time job with another company in the general print industry, like a wrap company. There are a number of different companies in our area who have more specialized fields, and would not be in direct competition with my current company. The bigger issue here is work hours. Most of them are open at the same times as my current job, so that's a bit tricky.

Anyway, I understand that this can be a complicated issue on both sides, and there are ethical tension points. But I agree that if he's not stealing business from the company and he's keeping up with his work, then I don't see the problem until it actually shows up.