Employee conflict of interest or not?

Discussion in 'Business Operations' started by solarscapes, Aug 23, 2005.

  1. solarscapes

    solarscapes LawnSite Member
    Messages: 6

    My business is design, install, and maintenance. I have a employee who just started doing his on thing on the side. That is pressure washing and painting.
    I noticed that he is solitating some of my customers for his work. My question is this a conflict of interest or not? Thanks
  2. hole in one lco

    hole in one lco LawnSite Bronze Member
    Messages: 1,793

    that sounds like a ill have your pay check on friday but you can go home now
  3. sheshovel

    sheshovel LawnSite Fanatic
    Messages: 5,112

    I woulden't say it's a conflict of interest per say....
    But I woulden't allow him to solicit my customers on the job.That is just bad form and makes you look bad and puts your customers in an uncomfortable position.Now if they ask if he knows anyone who does that kind of work,then OK he could give them his card but that's it.
  4. Brianslawn

    Brianslawn LawnSite Silver Member
    Messages: 2,002

    if you dont offer those services then no conflict. if he is advertising his services while on the clock with you the fire him.
  5. greywynd

    greywynd LawnSite Member
    Messages: 132

    Another option would be for you to work together......get him to go over his pricing with you, any work that you bring in for him you get 5% or something, any work he brings in for you, same deal.....if he's just starting, maybe rent him some shop/office space (if you have it), and use the fliers/advertising etc, for both businesses.

    Maybe if you have a slow spell you can work for him??
  6. Ric

    Ric LawnSite Fanatic
    Messages: 11,969

    I have to agree. I had an employee's wife go into to the cleaning business and not only did they solicit my customer but stole equipment after the hurricane to get started in the clean up. He was a spray tech and had a list names. After he left ( Helps was so short I couldn't afford to fire him at the time) they kept on soliciting my customer off the list he stole.

    IMHO if an employee is approached while working for me, that job belongs to me or my company. If he finds a job at church or the Bar then it is his to do as he wishes.
  7. Randy Scott

    Randy Scott LawnSite Bronze Member
    Messages: 1,915

    If you like paying an employee to grow their own business, then no, it's not a conflict of interest.
    Sooner or later, your employee's side venture will be at your expense. It already is for the fact that he has used one second of YOUR companies time to promote his business.
    If he's a key employee, it's time to find a replacement. Don't let on that your going to replace him until you feel confident you in fact can replace him. No sense putting yourself out by just firing him instantly. When the time is right, tell him he is no longer needed and he can now focus 100% on his own business. End of story, bye bye.

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