DOUBLE DUTY: THE RISK OF AN OVEREMPLOYED WORKFORCE

DOUBLE DUTY: THE RISK OF AN OVEREMPLOYED WORKFORCE

A Question I Didn’t Expect

Now and then, an interview gives you a story you know you’ll be telling for years. While I have heard a lot during interviews, a question I was asked during a recent interview took me a little bit by surprise. It was unexpected for sure, but very telling of the current market we are in.

I was interviewing candidates as part of a recruiting project we were doing for a member.  One of the candidates said something that paused the conversation.  She said, “Is this remote work?  Because I work remotely now for a company, and if this is also remote, I can just fit it in, no problem.” While I appreciate the honesty, I was a little stunned by the question. I was silent for a moment, then I asked her why she thought this was ok.  She explained that she was a salaried employee, so it didn’t matter when the work got done, as long as it got done.

I’m afraid this is what most of the world thinks, but the reverse is actually true. Working for multiple companies at the same time actually creates a slew of liabilities.

The Difference Between Overemployed and Moonlighting

Most moonlighting situations are usually fine, but it’s always advisable to check with the employer before taking on a second job.  

Problems can arise when an employee is working for multiple companies at the same time. The current term for this is overemployed. You know, like a candidate assuring me she could fit in the work from company #2 while working for company #1. Overemployment creates some legal, moral, and ethical issues.

Liabilities With Trying to Do Double Duty

Consider the first company.  They’ve provided the employee with a laptop, a phone, and internet reimbursement for their remote job, which is Monday through Friday, 6:00 am – 3:00 pm (with an hour for lunch). The employee takes on a second remote job, Monday through Friday, 9:00 am – 6:00 pm (with an hour for lunch). They tell the second company they already have a laptop, but appreciate internet reimbursement.

Use of Company Equipment & Double Dipping

The employee is using equipment that belongs to Company #1 for Company #2 and is receiving a duplicate internet reimbursement.  This is double-dipping. It’s an ethical issue, and potentially a legal one as well.  Further, any work done for Company #2 during working hours for Company #1, would be time theft and a terminable offense.

Misuse of Company Resources & Security Risks

And, what about using the Company #1 laptop for Company #2 business? At minimum, it’s a misuse of employer-provided resources. But does it also violate any security parameters? Likely. Are there exposures we should be concerned about? Absolutely. Data from both companies is likely being stored on the laptop, which means that if the laptop becomes compromised, so is the data.

Expectations Regarding Working Hours

Consider the comment about the salary from earlier (“They don’t care when the work gets done, as long as it gets done.”). We know that’s not entirely true. There is an expectation that the employee is available and working during their working hours, meaning the work is expected to get done during those hours. While there is flexibility, being paid a salary doesn’t mean working whenever, as the candidate above assumed. If an employee does work for themselves (think side gigs) or for another company during their normal working hours, that is time theft.

Who is Responsible for On-The-Job Injuries?

What about an on-the-job injury that occurs at 2:00 pm, when, technically, they are on the clock for both employers?  Which company is liable? You can see how this work arrangement can get complicated very quickly.

Actual or Potential Conflicts of Interest

What if Company #1 and Company #2 are in the same industry? The employee cannot ethically serve two competing interests. So, where does their loyalty lie? Additionally, if the employee uses knowledge and resources from one employer to benefit the other, there is the potential for legal action by one company against the other. Not to mention the potential for claims of unfair competition against both companies.

The Myth of Multitasking

Finally, some employees are unable to manage the stress, competing demands, and long hours that come with juggling multiple jobs. What began as a manageable work arrangement quickly becomes overwhelming. When that happens, the employee’s work performance begins to fail at one or both jobs. Sometimes this happens gradually. Sometimes it happens abruptly. This creates an issue for the employer that would not exist if the employee weren’t overextended.

Final Thoughts on Overemployment

It’s not illegal to have more than one job. However, as the previous example shows, it can create a variety of ethical issues and policy violations.

If you believe your employees are working multiple jobs, it’s important to check your company policies before having a conversation with your employees.  Do you allow moonlighting or outside employment? If so, under what conditions? Many organizations permit secondary work as long as it doesn’t interfere with primary job responsibilities, create a conflict of interest, or occur during scheduled work hours. Knowing exactly what your policies state will help you approach the situation factually, consistently, and without assumptions.

One of the defining characteristics of an employer-employee relationship is that the employer benefits from the work of the employee. When the work becomes subpar, or the employee’s time is being spent working for another company on the dime of another, the employer isn’t benefitting from the work. The benefit in these situations typically flows only to the employee. This can give rise to a claim for unjust enrichment, particularly when an employment contract is involved.

Currently, just over 5% of workers are overemployed, meaning they are actively working two or more jobs at the same time.  Unsurprisingly, this is more prevalent with employees working remotely. However, it’s not exclusive to remote work. There are cases of in-office workers having a secondary remote job that they are working simultaneously. 

The goal should not be to police every minute of an employee’s day but to ensure that expectations are clear, job performance is consistent, and company resources are protected.

By: Amy Matthews, SPHR

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