Employees Doing "side Work"

 
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Old 05-05-2006, 08:40 PM   #1
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Employees Doing "side Work"


Does anyone have employees doing jobs on the side? If so what do you do about it? What are your arrangements? I have an employee who buys his materials from me at cost. He has in the past done very small jobs that I didn't really want anyway. But lately he has taken some larger jobs and I have the prices set for him based on small jobs. I know I need to talk with him but I am looking to see what some of you guys are doing.He is an asset to me but he is starting to take jobs and money out of my pocket.

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Old 05-05-2006, 09:25 PM   #2
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Re: Employees Doing "side Work"


If hes a good worker, and his side jobs do not affect his work schdule with your company, i wouldn't say anything. Good workers are hard to find. So what if he makes some extra money on the evening or the weekends, as long as he does your 40hrs has good as ever, don't complain. You don't own him.
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Old 05-05-2006, 09:27 PM   #3
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Re: Employees Doing "side Work"


That is also a reason I ended up starting my own company a few years ago. I used to take a couple side jobs every now and then and my boss found out and yelled at me and told me if I wanted to do side jobs I had to leave. I said goodbye and quit. He called me for about 2 weeks before I told him to take the job and shove it where the sun don't shine. I figured why should my boss be making all the money and I was only making 10.00 a hour.
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Old 05-05-2006, 09:28 PM   #4
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Re: Employees Doing "side Work"


Once he does a job that you are willing and capable of doing, then he is no longer an employee, he is a competitor.
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Old 05-05-2006, 09:41 PM   #5
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Re: Employees Doing "side Work"


Quote:
Originally Posted by Tscarborough
Once he does a job that you are willing and capable of doing, then he is no longer an employee, he is a competitor.
Good point. Just sit him down and tell him this. Do it before he starts getting a lot of larger side jobs. He will be more inclined to understand and just limit himself to small jobs.

Otherwise when he is on a job site and a new customer walks up and ask for someone to do a large job is going to pass it to you or tell the new customer he can do it on the side.
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Old 05-05-2006, 10:09 PM   #6
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Re: Employees Doing "side Work"


I know that most of my guys do side work and I see nothing against anyone working harder to get their 'nest egg' together. As long as it doesn't effect my business, they can go to it.

If you can see over the liabilities (trust the guy), his and others purchases can increase your volume and get you better discounts.
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Old 05-05-2006, 10:28 PM   #7
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Re: Employees Doing "side Work"


My husband quit working for his dad over this kind of bologna. It's not different than him working a second job at McDonald's to help make ends meet.

I agree. If you are only getting paid $10/hour (or whatever) and your boss is making way more, you can either quit and become your own boss, or keep working for your boss and pick up some extra on the side.

Nobody should ever tell someone they can't work on the side. As long as he is pulling his weight and time with you, it's none of your business what he does after hours.

You don't have to get him cheap materials, let him get them himself. You aren't obligated to HELP him but you have no right to stop him either.

Otherwise when he is on a job site and a new customer walks up and ask for someone to do a large job is going to pass it to you or tell the new customer he can do it on the side.

Now THIS is a different bird. You absolutely can make it clear in your work agreement that he is NOT allowed to solicit customers you make contact with. In our client contract we stipulate that the client is NOT to have a subcontractor or employee do any work on the project under contract.

You wouldn't know necessarily that this won't happen anyway, but if a man gives his word all you can do is trust it. If you treat your employees well and respect them, they will do the same to you. Do NOT mess with a man's ability to make a decent living for himself. You risk losing a good employee that way. I'd rather have a good employee doing jobs on the side than to have some useless flake who is deeply committed to me.
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Old 05-05-2006, 10:41 PM   #8
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Re: Employees Doing "side Work"


Most of my side jobs are for clients that we've done commercial work for. Owners of retail outlets or "Big Wig" managers of offices. They hire me to do work on their homes (on the side). I've told my boss about a few of them and he says they should be run through the company. I basically told him that the clients would not go with his marked up prices. They are also hiring me because of my skill and personality they saw while completing the commercial job. My boss doesn't like it but screw him (since our salesperson left two years ago) I've been averaging about 50 hrs every two weeks. My side jobs have been saving my ass!!!
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Old 05-05-2006, 10:42 PM   #9
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Re: Employees Doing "side Work"


Didn't I say that in a lot less words?
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Old 05-06-2006, 06:21 AM   #10
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Re: Employees Doing "side Work"


I actually set up small jobs for my guys and the customer pays them direct...kind of a easy way for my guys to make some extra cash. We are talking about hanging doors, patching some drywall, maybe a small tile job. I don't mind them using my tools, as long as they are taken care of. My guys like to make some extra cash, but generally speaking, none of them are interested in doing much after work...they are all single.
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Old 05-06-2006, 08:08 AM   #11
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Re: Employees Doing "side Work"


Didn't I say that in a lot less words?

Probably. I was tired when I posted and probably just rambled.
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Old 05-06-2006, 09:22 AM   #12
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Re: Employees Doing "side Work"


I had a guy do this and went to my builder and tried to get my homes. My builder told him in more ways than one to

I fired him the next day
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Old 05-06-2006, 09:24 AM   #13
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Re: Employees Doing "side Work"


employers who encourage sidework are funding those jobs know it or not. i don't care if its a ladder, screws, caulking etc. company equipment ends up on those jobs. i'm smart enough to know some sideworks done without my knowledge ( never with my customers ) but they know the risk involved if any company equipment is used.
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Old 05-06-2006, 09:58 AM   #14
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Re: Employees Doing "side Work"


And while they are working for you they are calling ordering material, calling the customer, thinking about what needs to done, trying to hurry over and get started....basically not fully involved in the job they are doing for you. Also they keep prices deflated, they have no overhead or insurance so can charge less. Customers become conditioned to those lower prices making it harder for either you or another legitimate company to charge what their services are worth.
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Old 05-06-2006, 10:11 AM   #15
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Re: Employees Doing "side Work"


I wouldn't allow side work. "Allow" meaning not helping them in any way shape or form. What somebody does on their own is their business, but you have employees, and you have a company, your company is what you put your life into. Encouraging side work is ridiculous. Do you want an employee or do you want to train the competition, not just train but encourage somebody to leave your nest? Doing side work is the start of leaving you, it's only really a matter of time in the majority of cases.

If you have an employee with the brains and the drive to look at bettering himself with side work, I would look instead at how you can nurture and develop that person within your organization instead. How can you help him grow financially and in skills within your company and benefit your company? A guy like that to me would be worth his weight in gold, because he would be a great candidate to be a new lead or crew leader to help you expand.
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Old 05-06-2006, 10:12 AM   #16
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Re: Employees Doing "side Work"


I always tell my guys that they can work for their friends but never my customers unless I approve.
To me if the guy is taking bigger jobs he will be leaving soon and may take a few other employees and customers with him?

As for the view the boss is making more money......Isn't that why we do it. Isn't that why you get paid if the job goes sour and the boss has to eat the losses and the potential lawsuits.

If my guys tell me I am lucky to be where I am at I tell them it is easy and they need to do it. Just be willing to work 90 hour weeks for the first three years for what a McDonalds employee makes.
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Old 05-06-2006, 10:23 AM   #17
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Re: Employees Doing "side Work"


I have a set of guidelines that employees must agree to work by before they are hired. In the guidelines is a statement that says they must not solicit themselves for work while on my job or do any side work for any of my contracted clients. If they wish to take side work they can, as long as it is not related to my biz and doesn't interfere with their work on my jobs.
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Old 05-06-2006, 10:32 AM   #18
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Re: Employees Doing "side Work"


Are these guys doing side jobs legally? Are they licensed, bonded, insured to work on their own? Most aren't and are just under bidding everyone and ruining the construction community. You are either the boss or employee, not both.
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Old 05-06-2006, 10:47 AM   #19
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Re: Employees Doing "side Work"


I agree with not soliciting customers while on the job. But if I go out and get my own clients no one has the right to tell me I can or can't do that on my off time. As far as materials goes I have ALWAYS used my own materials or charged the customer to buy them. I have always been insured since the time I was 20 years old. I had to be cause when I do my dad's houses I needed to be. I don't have to be licensed in the state of ohio to be a painter, Now if I get into the other stuff yes I would have to be. And all my other chores to get ready for a job were done on my lunch time which is my time(Since I wasn't getting paid for it) or after working hours.
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Old 05-06-2006, 10:48 AM   #20
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Re: Employees Doing "side Work"


Quote:
Originally Posted by Lukester
And while they are working for you they are calling ordering material, calling the customer, thinking about what needs to done, trying to hurry over and get started....basically not fully involved in the job they are doing for you. Also they keep prices deflated, they have no overhead or insurance so can charge less. Customers become conditioned to those lower prices making it harder for either you or another legitimate company to charge what their services are worth.
Yep.
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