PETS+ Latest Real Deal Scenario

The Case of the Off-the-Clock Manager

Teddy loved owning his small chain of pet stores. And he really loved getting local recognition and awards. Early one morning, Teddy unlocked the front door of his flagship location, the store’s latest Readers’ Choice Award tucked under one arm. He wanted to put it on display to surprise his team. Teddy slipped inside, locked the door, and headed into the stockroom, where he almost ran head on into his store manager, Stephanie.

“What are you doing here so early?” Teddy said.

Stephanie wiped a lock of hair from her eyes in shocked delight. “I like to come in early to make sure the store is clean the way I like it,” she replied eagerly. Her genuine, broad smile lit up her entire face, creasing the corners of her eyes and exuding a contagious warmth. Stephanie saw the award nestled under Teddy’s arm and enthusiastically asked about it.

He showed her the award, much to Stephanie’s delight. But being a stickler for rules, Teddy had to ask — yet again — if she had clocked in before she started to work. Stephanie confessed she had not.

Teddy made sure that all of his full-time employees had 40-hour work weeks and paid them as much as he could. He also had a strict “No Overtime” policy. The stores had enough part-time staff to ensure the full-time team members never had to work more than 40 hours. It was obvious that Stephanie loved her job — and loved the store nearly as much as Teddy did. Her work ethic and passion for people and their pets were clear to all who met her.

The problem was that Stephanie would regularly work early or leave late, helping the team members and waiting on customers, while off the clock. One of her excuses was that her husband went to work very early, and she would come into the store for something to do. To make things even harder for Teddy, the other team members and customers loved having Stephanie around.

He had previously made her a salaried employee, and that worked until state wage laws changed, requiring salaried workers to earn a minimum much higher than Teddy could afford. He couldn’t bring himself to punish Stephanie for doing what she loved so much, and he wished he could find a way to reward her for the drive and excellence without paying her overtime. In every other respect, Stephanie was a perfect employee. But Teddy feared a disgruntled employee, or even worse a disgruntled Stephanie, would complain to the state. Wage violations were serious business!

QUESTIONS TO CONSIDER

• How can Teddy keep Stephanie from working off the clock?
• Or are there other ways he can reward her?
• What other advice do you have for Teddy in relation to this scenario?