So I started a small side business selling custom phone cases on Etsy about 6 months ago. It's been growing slowly but steadily. Then last week my manager sends out a reminder about the company's "outside employment policy" and it says any side business must be approved by HR. I never signed anything like that when I was hired (been here 3 years). Is this something they can enforce now? Should I bother telling them? I'm not competing with my employer at all, totally different industry. But I'm worried if I ask, they'll say no and then I'm on their radar. Anyone dealt with this?
Employment
My employer has a side-business policy
Depends on your state. If you're in an at-will employment state, they can fire you for pretty much anything that isn't illegal discrimination. A side business isn't a protected class. So yeah, they can enforce it retroactively if they want to be jerks about it.
I wouldn't say a word. Unless your side hustle directly competes or you're doing it on company time with company equipment, they probably don't care. Policies like that exist so they can fire someone if the side gig becomes a problem. Don't make yourself a problem.
HR here (not your HR, obviously). A lot of these policies are buried in the employee handbook, which you likely acknowledged during onboarding even if you don't remember signing a specific form. But enforcement is usually complaint-driven. If nobody knows, nobody complains. That said, if your Etsy shop gets featured somewhere and someone recognizes you, it could get awkward.
I checked the handbook from my first day and there is a vague line about "avoiding conflicts of interest" but nothing about requiring approval for side businesses. The manager's email was the first time I saw that specific language. Does that change anything?
Honestly, phone cases on Etsy? They're not going to care. They put those policies in place for people who are doing consulting for competitors or running a business that takes all their energy. You're fine. But I get the anxiety. Corporate policies are written to cover everything so they have options later.
Delete this thread and don't tell anyone. Seriously. The less said the better.
The fact that the policy wasn't in the handbook you signed is actually a decent defense if it ever comes up. They can't retroactively impose a new condition of employment without updating the handbook and having you acknowledge it. But again, that only matters if they try to punish you. Which they probably won't. I'd keep quiet and just make sure your side business doesn't use any work resources or time.
This is why I love working for a tiny company. My boss knows about my woodworking side gig and thinks it's cool. He bought a cutting board from me last month. Different world.
Yeah I'm definitely not using work time or equipment. It's all at home after hours. I think I'm just going to keep my head down and not mention it. If it comes up, I'll deal with it then. Appreciate the input everyone.
Just make sure your Etsy shop doesn't have your full name or photo front and center. Keep it low key. If you use a shop name that's just a brand, you're even safer
Also think about whether you might want to scale thiws. If it grows into something bigger, you might eventually want to leave anyway. But if you want to keep both, you'll have to decide how much risk you're comfortable with. Sucks that employers act like they own your free time.
MossyStone makes a good point. I'd also say don't link your shop to your personal social media where coworkers follow you. Keep those worlds separate.
One more thing: if they ever do ask, don't lie. You can say it's a hobby that occasionally generates a little income, which is true. Hobbies aren't usually covered by outside employment policies. Just don't call it a "business" if you can avoid it