From financial implications to productivity consequences, employees with non-disclosed second jobs could become a serious problem within your company. It can also be a difficult situation to handle. Accusations or disciplinary actions taken without concrete proof could open your business up to legal ramifications, such as unfair dismissals or unfair disciplinary processes. It can come in many forms, but usually becomes an issue if your employee has not disclosed their additional employment or it becomes a conflict of interest for your business.
Many of those who choose to take on a second job do so in order to supplement their income or make ends meet. There are some common signs of moonlighting that could indicate your employee has a second job. Flexible working can be a great way to encourage productivity and loyalty in employees you trust. Moonlighting employees can struggle to juggle both jobs successfully and their second job may begin to encroach on their work with you. Offsite meetings are often required for many jobs and it can be customary for employees to spend significant portions of their time away with clients or at different locations related to your business.
You should, however, become concerned if there is no real record of these meetings taking place. If there are no meeting minutes, no feedback about topics discussed or there is no confirmation by the party your employee was supposed to be meeting with, it could be that the individual is using this time for activities unrelated to their employment with you.
As with many other workplace issues you may find that the knowledge your employee is moonlighting is common amongst other co-workers. This is one of the most dangerous consequences of moonlighting as it is not only the employee in question who is performing poorly but also having a knock-on effect with other employees. This very often leads to anonymous tips and whistleblower situations but any employer should ensure they take precaution to gather the evidence they need before responding to anonymous tips.
Linked with poor timekeeping, concentration and increased tiredness could be another sign that your employee is moonlighting. This will have a direct effect on their productivity and performance. This is particularly important if your business relies on well-rested employees to perform their jobs safely and effectively.
There could be serious health and safety considerations, particularly in industries like construction, factory lines, hospitals and many more. It can be commonplace for moonlighters to take advantage of sick leave to work other jobs. Popular forms. Moonlighting Law and Legal Definition. This would include: Acting as agent or attorney for prosecuting a claim against the United States, or receiving a gratuity, share, or interest in such claim in consideration for assistance in prosecuting the claim.
Advocating, irrespective of compensation, the interests of your outside employer, your private corporation, or outside clients, to or before any Federal official, whether in person, by phone, or in writing.
Being compensated for work you do in support of another's representations before any official of the Federal government. Lobbying a federal agency for your outside employer. Submitting, under your signature, a grant or loan application on behalf of your family corporation. Advanced Search. Services Attorney Assistance. Get Help My Account. By Jane Johnson, Last updated: originally published on Picture the scene : you are the business-owner of a growing start-up with ten employees.
Jack has helped the business grow as a key player, and has also had access to important confidential information, client lists and budgets. He also seems particularly tired in the mornings. After this goes on for a few weeks you become suspicious and check his work emails. You find that he has been working in the evenings with his friend on a new venture.
You cannot tell yet whether that venture is in competition with your business. Whether it is lawful depends on numerous factors including :. Employees may be surprised to discover that they can be restricted from doing other work in their own time.
There are several reasons behind this, but common concerns are the knock-on effect for their performance at their main employer, as well as the effect on health and safety regulations. Like Jack , if your star employee is working in the evenings, the likelihood is they will be tired when they come to work. The W orking T ime R egulations set specific rest breaks and maximum working hours 48 hours per week in the UK.
If you have consented to your employee working elsewhere in the evenings, you will need to keep an eye on their rest breaks and working hours to ensure your compliance with these regulations. Examples would be emergency, medical, repair or safety personnel. Sometimes there is a requirement that certain employees carry beepers or cell phones in order to be available on call on certain days, especially weekends.
Such immediate availability requirements may make moonlighting at another job impractical for workers, and especially problematic for their employers. If the worker is moonlighting for a competitor, all kinds of issues can arise. Employees owe their employers loyalty, meaning they cannot violate confidences or take advantage of proprietary or secret information in order to moonlight. Moonlighting and noncompete agreements The stakes are higher for both employers and employees if the moonlighting workers have noncompete, confidentiality or trade-secret agreements with primary employers.
Such employers may consider spelling out why moonlighting is a bad idea. Here are a few reasons that can be cited to employees:. Many noncompete agreements survive and remain enforceable, even if there are discharges, resignations, layoffs, corporate mergers or acquisitions, or changes in ownership. The same may be true for forced furloughs, which have been increasingly popular during the downturn. The law governing noncompete agreements varies from jurisdiction to jurisdiction.
So it is best for an employer to check with an attorney before taking a chance on hiring someone whose noncompete may still be in force, despite a furlough or firing.
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