Roxanne

Hope someone has an answer for this! I went into my salon, only to find that my employee had a notebook with tanning written all across it. I went into the office only to come back and find that she was hiding something. So I decided to question her on it and what it was for. She proceded to tell me that she told her mom to open a salon and it was a notebook filled with their ideas. I am talking, this girl has done her homework no thanks to me. Now first of all, I had all my employees sign a non-compete form which my laywer and I drew up. Basically states that they cannot use or plagarize any of my salons paperwork or logos and that they cannot open a salon within a 30 mile radius for a period of 3 yrs., following there dismissal or leaving there employment with me. Well, she has obviously taken some of my forms, lots of my ideas in hopes of venturing out on her own. To make things worse, she also has a sister that works for me. And their plan is for her to be the manager. Now what would you do in this situation? These are 2 of my best employees out of 4 and I am not very happy with the idea of losing them and all that i I have worked hard for. Any ideas?

Rich

First of all I doubt that your non compete clause is going to hold up. 30 miles and 3 years for a clerk is way over the top in my experience. I had a non compete clause with a store manager in another line of business and the courts threw it out. Cost me a few thousand to go to court and defend it and I lost. Two bad things. The courts side with the employee, always have and always will. Second, just because they are talking about it does not mean they will do it. Lots and lots of people talk about doing stuff until they find out what is involved. Just because they work for you does not mean that they know how much it really costs to open their own place or that they have access to that much money. Third, if you believe they are going to do this and you cannot live with it then fire them and go on down the road. Life is too short to worry about things you cannot control. You cannot control if they will open a location. If you fire them or keep them doesn't matter, they will do what they will do. All you can control is how you feel about it and whether you keep them working at your salon.

TonyaH

I agree with Rich, I would not let them to continue to work for your business knowing what you know. You can find other help, sometimes I know its easier said than done, but I would rather pull the hours myself than to let someone rip me off.Just my 2 cents!

Tracie Williams

Roxanne,You probably need to find out the Rules & Regs. regarding reprimanding an employee for this action. In our policies and procedures we have a statement that reads as follows:"Employment with Sandollar is not for any stated period. You may resign your position at any time and Sandollar may discontinue the employment relationship whenever it believes that it is in the best interest of the company to do so. Sandollar Regulations, policies or communications by its representatives are in no way intended to create a contract for employment". This does not mean I am covered in court necessarily. Everyone you employ will have access to your company information. Explaining your membership, referral program, timing system, etc. is a normal procedure the clerks perform with the customers daily, therefore writing it down and discussing it with anyone else will be hard to reprimand them on. If you feel that she has violated any trust or policies I would suggest a verbal or written warning first. If you really want them to leave your company then don't schedule them too often. Eventually not getting the hours they need they will look somewhere else for employment.------------------Tracie WilliamsSandollar Corporation

Roxanne

thanks everone for the advice. I think at this point I have decided that dismissal is the answer. I do not plan on any type of court action, although I do think having a non-compete clause has helped those who I have hired think twice about what they decide to do in the future. More of a scare tactic in my opinion. One thing that I keep in mind is that one of these girls is still in high school and what she plans after college is no business of mine. Thanks for the warning about non-compete not standing up in court!!! I assumed that if my lawyer drew it up it might have some pull, but after hearing your story I guess not. thanks again for the suggestions:0)roxanne

BOBER96

Just my 2 cents worth, but here goes....As a scare tactic, remind them of the no-compete agreement before you can them. It would make me think twice, especially if they do want to start up, mounting legal bills are expensive and will quickly bury a struggling new salon. Just a seed to plant in their head prior to giving them their walking papers.I also have my staff sign a no compete agreement. Every state is different in regards to enforcement of them, but it does give them something to think about!I do agree that keeping them around could be bad. Good luck, keep us posted!!![This message has been edited by BOBER96 (edited 02-06-2001).]

Tan-U-Too

If one more tanning salon opens in the Twin Cities, it's going to explode!!!!! I hope they have alot of money to finance this salon. I don't think there's a bank in town foolish enough to finace another tanning salon here. There's one on every corner now, practically.

Roxanne

Quote:Originally posted by Tan-U-Too: If one more tanning salon opens in the Twin Cities, it's going to explode!!!!! I hope they have alot of money to finance this salon. I don't think there's a bank in town foolish enough to finace another tanning salon here. There's one on every corner now, practically.Yah I agree it is crazy. They cant all succeed. I have to say that when I came into business the bank thought I was crazy, but I am still here and now they are calling me! Happy Tanning in MNRoxanne

Rich

Have you fired them yet? Have you made your decision yet? I was thinking about this and thought you might want to go another route and set up a partnership on another location with them. If they are that good and want to open anyway why not partner up with them? Just a thought, I can see both sides of the issue but thought I would throw this out.

Jessica

Wow, the same thing happened to us. We fired the two girls and they opened one mile away. It has been a good thing because they have attracted the younger crowd by letting them tan for free or at a discount price. We kept a good reputation and educate our clients. Therefore, they come back or come in to buy products. Our sales have went up dramatically and we are now a Signiture Salon. ------------------