Sales staff stealing my customers to earn through commissions

[lizzi]

Hello! To keep things brief and without going into details, I have a B to B business with a high barrier of entry and my sales staff are generously paid full-time salaries with regular bonuses quarterly.

Most sales come through via online messaging apps or emails where in my clients send their orders and my sales staff fulfills their orders. My company gives them a % off on our products. Whether they want to sell to their friends of families is up to them.

However, I caught on to one of my sales staff because he had huge personal sales. I found out he was simply placing the orders of one of my returning old customers (who recontacted him through our means) under his name thus profiting through those sales. This has been going on for a little over a month.
Upon confronting him, he was very apologetic. He’s been a really good employee of mine until this. He apologized profusely and promised me it won’t happen again. I do not have the heart to terminate him because he has a family.

Just wanted to ask has anyone experienced anything similar? Any pieces of advice you can give me to avoid this problem from happening again?
Also what would you say is a good “punishment”? Should I ask him to return the profit?

 

[ck01]

@lizzi This is the thing you caught, what about all the things you didn't?

Your other employees have also now seen that there are few consequences for stealing from you.

Do with that what you will.

 

[nun]

@ck01 This. If you let him stay you are telling everyone stealing from the company is tolerated! Sadly he needs to go.

 

[faith78]

@lizzi I own B2B outside sales business. I'd looked as this as theft and fire the employee. If I can't trust you, you're out of my building. This person's moral compass is flawed. When they go through trouble, it'll just be something else. Best of luck..

 

[rupereta]

@faith78 This is really the only acceptable option. He is a thief.

If he was paid on that he needs to pay it back under threat of criminal remedies.

 

[lizzi]

@rupereta I’m really considering having the profits returned because I do not want a repeat of this.

would it seem too soft if i asked for maybe 50%?

 

[stargrl232]

@lizzi He continues to exist as your employee.

You are already too soft.

Unless you have a hard plan to fire him in the future when it's better for you, you should be making the demand for payment yesterday and cutting him loose tomorrow.

 

[rupereta]

@lizzi It is embezzlement. "You have 1 week to pay this back in full or I'll report you to the police" are the actual words I would use.

 

[nolb]

@rupereta And how is he still employed there?

 

[etsisbull]

@lizzi I would, at minimum, ask for 100% of the money back. Then, I would revoke his personal discount going forward. Put him on probation for 6 months as well.

 

[snapplex]

@etsisbull This was exactly my thought. He pays back what he stole, he loses the means to do it again, and he walks a tight freaking rope from here on out.

Also, be sure that you update your employee handbook / make it known that theft of any kind is ground for immediate termination.

That said, I'd have fired him.

 

[holiness3389]

@lizzi You said you feel bad firing his generation he had a family, do you not have a family or expenses? He had no problem stealing from you and now you're telling the rest of your employees that there are no consequences to theft. You're putting everything you've worked for in jeopardy for someone who doesn't respect you.

 

[p4m3l4]

@lizzi Yes

 

[gally92]

@lizzi Someone you can't trust is working for you! Do you understand the implications of that?

 

[devonna]

@lizzi No! He needs to pay you back 100%!!!! Unless you want to set the tone for all your employees, stealing from you is ok. It sounds like you are a kind and generous business owner, you are a rarity. Please watch out for yourself and your business.

 

[faith78]

@lizzi You charge them back 100% ans take it out of remaining pay owed. Work with your HR vendor to make sure you're going by the book. If you really don't want to deal with that and are willing to accept the loss, remove them from your employment immediately.