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Employer accusation of theft?


swimmermom3
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Please do not quote this.

Dd texted us this morning to say that when she opened the salon, she found an email addressed to all employees including the front desk, where the owner said that as dd was doing services at home in addition to what she does at the salon, she must be stealing from the salon. The owner stated that dd was using the company's name to get her own supplies.  Dd is devastated. She really loves the job and has ordered all of her supplies from Amazon, so she has receipts. There is nothing in her contract that restricts her from providing services at home as she has a free lance license. She does no advertising and never mentions her association with the salon.

What can and should she do? This is very damaging in this industry and the salon has a high profile in the city.

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The fact that the owner addressed the email to all employees instead of bringing it up privately with DD is really rude and unprofessional. I would have her reply to the email ("reply all") saying exactly what you said here: she has never stolen any supplies, she has never used the company name to either attract clients or buy supplies, and she has purchased all of her supplies privately on Amazon and is more than happy to submit the receipts as proof. 

I would also talk to a lawyer ASAP, and I would start looking for another job. Because either this boss is a total jerk, or someone else in the company is trying to set her up by making false accusations (or both). Even if she gets past this, there will always be tension, she'll always be walking on eggshells or wondering if someone  is stabbing her in the back. Better to move on to a new job now than wait to see if she gets fired. If she does end up being fired, I would sue the owner for wrongful termination and damage to her reputation.

 

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1 minute ago, Corraleno said:

The fact that the owner addressed the email to all employees instead of bringing it up privately with DD is really rude and unprofessional. I would have her reply to the email ("reply all") saying exactly what you said here: she has never stolen any supplies, she has never used the company name to either attract clients or buy supplies, and she has purchased all of her supplies privately on Amazon and is more than happy to submit the receipts as proof. 

I would also talk to a lawyer ASAP, and I would start looking for another job. Because either this boss is a total jerk, or someone else in the company is trying to set her up by making false accusations (or both). Even if she gets past this, there will always be tension, she'll always be walking on eggshells or wondering if someone  is stabbing her in the back. Better to move on to a new job now than wait to see if she gets fired. If she does end up being fired, I would sue the owner for wrongful termination and damage to her reputation.

 

This.  

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I’m so sorry for her ?  please don’t have her reply to owner OR anybody else without talking to a lawyer if this has a chance of hurting her future business or if she would ever consider suing for defamation (since the email could be considered libel).  

Are they trying to make her quit? Is this the first time anything like this has happened?  Is he firing her?  Would she stay there until they fired her? 

if you can’t talk to a lawyer, there are other forums online to get a feeler about what to do just to cover all your bases.  Just don’t make any rash decisions or do anything you can’t undo yet.   

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Wow, that's awful.  Even if he was pissed abut her seeing people at home, I don't see how he can justify the accusation about stealing supplies.

I'd be looking at whatever organizations represent workers where she is, workers boards or maybe there is a cosmetology association?  And I'd be looking for a new job too.

FWIW -  even high end hairdressers here will see private clients, though usually they are people they know or who have reason to be seen at home.  My cousin for example has her hairdresser come to her house, since she moved in across the road from her.  I don't think trying to prevent that kind of thing ultimately does any good for the salon owners. (Though, most hairstylists here rent chairs.  It seems a bit of a racket.)

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Libel came to mind as well since all employees were addressed and her reputation is now at stake. I would not want to continue working there. If she loves her job and is good at it, she will probably find another place. The  owner may have sent this to all employees as a warning but accusing someone publicly without having had a private conversation to ascertain the facts is totally unacceptable. I would probably confront the owner - but then I have been in the world a few days longer than your dd. As far as legal issues go, I don't know if a lawyer can help or if responding to the owner creates more legal issues.

Don't know what business your dd is in but the word "salon" made me think of hair. My hairdresser - owner of her salon - has recently fired several people who were working somewhere else on the side. I had no clue that something like a non-competition clause is a thing in this business but oh boy, she was working up a lather just telling me about it.

 

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I agree with everything that has already been posted, but I’m wondering if someone else at the salon is actually stealing supplies, and maybe that person told the manager that it was your dd. Obviously, the manager is handling this in an absolutely disgusting way, and I agree that your dd should take the actions that have already been suggested, but if the manager is accusing your dd of theft, there may very well be a thief at that salon, so your dd should be very careful about whom she trusts and about discussing the details of this situation because someone there may not be as nice as he or she seems to be. 

I’m so sorry this is happening to your dd. It’s so unfair and it’s just awful.

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DON"T RESPOND TO THE EMAIL YET. I agree you should check with a lawyer if you can afford it, in regards to false claims. I would be concerned that she may not be able to collect unemployment if/when she is terminated, might not be able to find a new job due to a poor reputation, etc. Call ASAP.  

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1 hour ago, Bluegoat said:

Oh, FWIW, my understanding is non-competitive clauses are often not nearly as meaningful as employers want employees to believe - in some cases they are actually illegal.

There are different non compete agreements. The agreements that attempt to prevent an employee from changing employers are the harder ones to enforce. An agreement that says you won’t compete with your employer while you are employed is enforceable by firing for cause. Not necessarily in the salon industry, but in many industries employees have access to proprietary information and to work for multiple employers in the same industry is considered spying. If a company can prove that you shared proprietary information, then they can file a civil suit for the loss of revenue they would have earned had the competitor not had the information. In the salon industry, if the salon owner gets a percentage of each appointment, then by seeing clients privately, the stylist is directly competing with the employer and depriving the employer of the percentage they would have earned had the client come into the salon. That would be considered firing for cause if there is a non compete agreement in place. 

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Make sure the lawyer understands if she is an actual employee (paid by the hour) or if she is technically some sort of subcontractor (renting the chair in the salon, etc). It might be the boss dislikes her and is trying to force her to leave. Also, depending on the state the way that was handled might be considered harassment, opening that boss up to a lawsuit.

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My husband was once fired from an electrical company for accepting a side electrical job unrelated to the company.  There was no policy about it.  Wrong?  Yeah.  But most employment is at will anyway, so what can you do?  Mostly an employer can fire you for no reason at all.  

The accusation of stealing made to all employees could be a separate issue of libel or defamation though.

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I appreciate everyone's feedback and have a few more facts and background information.

Background: DD holds a state license as a hair stylist and one as an esthetician (skin care). In our state, if you do not work out of a salon, but say wish to go to the customers' homes, you have a freelance license. The license has very specific rules with regards to sanitation, disposal of products, etc.  A stylist or esthetician can also be "certified" in additional services or  products. For example, my dd is a certified artist with Borboleta. This means she has undergone their training for applying lash extensions. She is also certified for microderm abrasion and chemical skin peels as well as a couple of makeup lines. Discounts with these vendors depend on dd's training and certification, NOT on the salon's business account.

Event: Dd works only as an esthetician for the company which has, I believe five or six upscale salons city-wide. She has worked for them almost five months. They are routinely short of front desk staff, so often dd will lose time from services in order to work the front desk. She is only allowed to do waxing, brow tints and make-up currently. The salon does not offer lash extensions. They told dd if she completed 10 sets of lash extensions and documented her work, then they would probably open up a room for her to do lash extensions. She can start do facials when she has been trained on their "specific procedure," but right now, they need her at the front desk. With me so far?

Yesterday, when dd opened the salon, there was an email addressed to the front desk staff. A note from a "X-Brand" lash extensions thanking the company for opening an account with them was attached. The store manager was asking if the owner knew anything about it. The owner responded that DD had probably used the company's name to open the account, and that the owner wondered how dd was doing microderm abrasion at home. She then said that they should watch the supply bar.

Dd has no non-compete clause. However, the work she does at home is almost exclusively work she is not allowed to do at the salon. She does lash extensions, the micro-derm abrasion, and chemical skin peels. She also has a few regulars for haircuts and color. The few friends she does waxing or facials for, could never afford the salon's rates where a facial is $125.  DD charges roughly the cost of her supplies. She figures that right now, everyone is doing her a favor by allowing her to continue to hone skills that she is not allowed to work on at the salon.

This just seems so out of left field.

Dd is really passionate about her work, especially skin care, and has been so excited about the extra work the salon has asked her to do, like researching and writing a proposal on replacing their existing line of makeup. She spent hours researching and sourcing the paper on her own time.

I don't know. My mom heart is irked.

 

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It seems pretty obvious that they should go to the X-Brand site and see the name and address on the account. Are they even sure it wasn't someone at another location since they're a mini-chain?

The salon owner and manager sound like real jerks. On the plus side, they sound more like jerks than people seriously accusing your dd of theft.

I hope she can get enough experience to strike out on her own soon.

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Did your daughter open an account with the lash extension company using the salon name? Did she let the lash extension company know she was affiliated with that salon? If your daughter wants to maintain the work relationship, I recommend she sit down with the manager and store owner and ask them what their specific concerns are - did they receive a bill for supplies that should have gone to her home address? Did they receive marketing materials and jump to conclusions? Are they concerned about her free lance business for some reason? How did they jump from lash extension company email to microderm abrasion?

It's a fine line as far as whether or not she's competing with them if she is offering services that they also offer (the skin care, not the extensions), even if they don't allow her to offer those particular services in their salon.  In their eyes she could be taking away their potential business, even though your dd's clients would never be able to go to the salon for cost reasons - the manager and owner don't know that. The fact that they don't have a spelled out non-compete clause works in your daughter's favor, but if you're in an at will employment state, they may be able to fire her for cause anyway.

I'm sorry your dd is dealing with this - difficult managers are the pits.

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54 minutes ago, TechWife said:

Did your daughter open an account with the lash extension company using the salon name? Did she let the lash extension company know she was affiliated with that salon? If your daughter wants to maintain the work relationship, I recommend she sit down with the manager and store owner and ask them what their specific concerns are - did they receive a bill for supplies that should have gone to her home address? Did they receive marketing materials and jump to conclusions? Are they concerned about her free lance business for some reason? How did they jump from lash extension company email to microderm abrasion?

It's a fine line as far as whether or not she's competing with them if she is offering services that they also offer (the skin care, not the extensions), even if they don't allow her to offer those particular services in their salon.  In their eyes she could be taking away their potential business, even though your dd's clients would never be able to go to the salon for cost reasons - the manager and owner don't know that. The fact that they don't have a spelled out non-compete clause works in your daughter's favor, but if you're in an at will employment state, they may be able to fire her for cause anyway.

I'm sorry your dd is dealing with this - difficult managers are the pits.

 

According to dd, she did not open an account with Brand X lash extension company using the salon name.  I don't know enough to say an artist would never use a brand they aren't certified with, but I think it would be somewhat uncommon. Dd is certified with Borboleto and does not use any other product.

An extended family member who has owned a highly successful salon for several years has offered to go over the situation with dd, to see where she could be at fault or where the salon owner might take offense. Dd makes $12 an hour at the front desk, which is her predominant source of income. She makes slightly more for services with tips, but it is definitely not a living wage in our city. One of my concerns is that she mentioned on social media her need for extra income. Some of the staff and one of the managers follow her on social media. This could be potentially embarrassing (to my way of thinking) for the owner. What is not mentioned is that the owner is one of the few salons in the area that offers full health benefits and retirement savings. I've tried to think of this from a couple of different angles.

The family member is going to go over dd's contract and another one for a recent wedding where dd was the makeup artist. This was the first wedding she worked for the salon and they had her sign the contract after  the event. They also told her they were pulling a few strings to get her more money, but not to discuss her pay with anyone. The contract totaled $1300, with the hair stylist and the makeup artist (dd). The hairstylist brought his own assistant, which he paid on the side.  Dd worked close to 5 hours and did makeup for 5 women in the bridal party. She was asked to drive her car to transport staff, and she used her makeup as the salon's was inadequate for the job. She made a little over $100 and has no idea if this was fair or why the contract would be signed after the fact. One of the salon's top hair stylists asked dd if she could hire her directly to do all of the makeup for the stylist's upcoming wedding. This is a huge opportunity and I am pretty sure the photos will make amazing portfolio material, but I am equally sure that there are some ethical mine fields here and I am hoping dd can get some good advice on the correct etiquette in these situations.

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1 hour ago, chiguirre said:

It seems pretty obvious that they should go to the X-Brand site and see the name and address on the account. Are they even sure it wasn't someone at another location since they're a mini-chain?

The salon owner and manager sound like real jerks. On the plus side, they sound more like jerks than people seriously accusing your dd of theft.

I hope she can get enough experience to strike out on her own soon.

 

You know, I was thinking that would be a reasonable place to start before you publicly accused an employee of theft. Seems kind of practical and possibly a lot less litigious.

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The family member sounds like a great help and a great resource for your daughter. Also, $100 doesn't seem nearly enough for that much work for a wedding, but I don't know what is standard. I've known wedding parties to get their makeup done for free at department store cosmetic counters, though, so maybe it is a good rate. In the future, she should charge for product that she uses, though. Did the makeup job come through the salon? The contract after the fact is weird, and it's even more weird that it didn't spell out a breakdown of the services. Ugh.

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Maybe another employee at the salon is trying to sabotage your dd and set up the account, hoping that it would look like your dd did it.

That might sound overly paranoid or cynical, but after being in business for almost thirty years, nothing surprises me anymore when it comes to people screwing each other over.

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On ‎7‎/‎24‎/‎2018 at 4:57 PM, Corraleno said:

The fact that the owner addressed the email to all employees instead of bringing it up privately with DD is really rude and unprofessional. I would have her reply to the email ("reply all") saying exactly what you said here: she has never stolen any supplies, she has never used the company name to either attract clients or buy supplies, and she has purchased all of her supplies privately on Amazon and is more than happy to submit the receipts as proof. 

I would also talk to a lawyer ASAP, and I would start looking for another job. Because either this boss is a total jerk, or someone else in the company is trying to set her up by making false accusations (or both). Even if she gets past this, there will always be tension, she'll always be walking on eggshells or wondering if someone  is stabbing her in the back. Better to move on to a new job now than wait to see if she gets fired. If she does end up being fired, I would sue the owner for wrongful termination and damage to her reputation.

 

Exactly this, with the emphasis on the lawyer. 

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