Phone Sex is Bad for Business

On August 3rd/2005, Reuters reported that a German man had colluded with a phone sex operator to defraud his employer's company out of approximately 16,000 Euro or almost 20,000 US dollars, by making 160 phone calls over a year and a half from work. He apparently split the profits 50/50 with the phone sex operator. The courts convicted the man and gave him a suspended sentence of eight months.

Does your company have a written communications policy, and are your employees aware of its existence?

Most phone systems these days are highly sophisticated and access can be easily controlled and usage monitored. An employee abusing valuable telecommunication resources is an unnecessary problem to have these days. A quick call to your communication provider will reveal a plethora of information that is available to ensure your systems are being used, not abused. In the United States, except California, it is perfectly legal for employers to monitor business-related calls, even if it is unannounced. It is important to note that counsel recommends employees be aware of all communication policies, preferably in writing.

Phone sex aside, we are more apt to hear these days about employees abusing internet privileges. In fact, an entire sub section of the software industry has developed to provide companies with internet monitoring software. Some software will just monitor employee's internet usage and provide management with interesting reports to bring up at the good old annual review. Different software will allow management to filter what websites can be viewed, thus only allowing employees to visit sites that pertain to their industry.

What's the big deal?

37 % of people said they surf the internet constantly at work.
32 % of people said they surfed a few times per day.
37 % of US workers have visited an X-Rated Website from work.

When an employee abuses company communication resources it reduces productivity, stealing valuable time and resources that do affect the bottom line. Ask any stock holder if they would be happy realizing the employees of XYZ Company's phone or internet usage are the result of their reduced dividends this quarter? I doubt you would get a happy response.

The conversation that often comes up when anyone discusses employee monitoring, and specifically phone calls, is privacy rights. It is Federal law in both the United States and Canada that when an employer realizes the call is personal, he or she must immediately stop monitoring the call. This is a very good thing indeed, but one that as well could cause some confusion.

Wouldn't phone sex sound like a personal call?

By Lee Raito, CFP, FMA
Co-Author of Business Sexcess
Business and financial expert Lee Raito is a Certified Financial Planner and Financial Management Advisor. Lee has teamed up with Internet marketing expert Sam Heyer to provide you with information that will take your business success to a place it has never been before. Their recent book, Business Sexcess, is the much talked about book that will transform how you look at business. http://www.BusinessSexcess.com

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Pay Equity pioneer Lily Ledbetter addresses the Democratic National Convention in Denver, Tuesday, Aug. 26, 2008 file photo. Democrats are ushering in what they believe will be a new labor-friendly era in Washington with House votes on two bills aimed at helping women fight pay discrimination in the workplace. The House was to vote on the bills Friday Jan. 9, 2009, and they could reach Barack Obama's desk soon after he enters the White House.  One of the bills, the Lily Ledbetter Fair Pay Act, is a response to a 2007 Supreme Court decision that made it more difficult to sue over past pay discrimination.  (AP Photo/Ron Edmonds, FILE)AP - Democrats are ushering in what they believe will be a new labor-friendly era in Washington with House votes on two bills aimed at helping women fight pay discrimination in the workplace.



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In this Dec. 1, 2008 file photo, Defense Secretary Robert Gates, second left, speaks as Vice President-elect Joe Biden, left, President-elect Barack Obama; and Secretary of State-designate Hillary Rodham Clinton, far right, listen at a news conference in Chicago.  (AP Photo/Charles Dharapak, File)AP - Just minutes after George W. Bush took the oath of office eight years ago, he signed papers formally nominating 13 Cabinet-level officials. Several hours later, the Senate, meeting in a special Saturday session, confirmed seven Cabinet secretaries, including the heads of the key posts at State, Treasury and Defense.



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Jaclyn Holt (R) fills out an application form at a job fair organized by the New Hampshire Employment Security agency in Salem, New Hampshire December 17, 2008. (Brian Snyder/Reuters)Reuters - U.S. employers probably cut the most jobs in at least 34 years last month as the global economic crisis gathered pace and moves by policy makers took time to filter through to struggling companies.



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A man works near a pressure gauge at a district heating plant in Skopje January 8, 2009. (Ognen Teofilovski/Reuters)Reuters - Europe sought a swift restoration of gas supplies on Friday after striking a deal with Moscow on monitoring gas shipments via Ukraine that have been halted by a pricing dispute with Kiev.



People taking the Long Island Foreclosure Tour arrive at a foreclosed home for sale in New Hyde Park, New York in this May 17, 2008 file photo. Citigroup could soon agree to principles that would let troubled borrowers save their homes through bankruptcy, sources familiar with the talks said on Thursday, while industry groups are easing their opposition to the plan. (Shannon Stapleton/Reuters)Reuters - Financial giant Citigroup Inc will support a proposal in Congress to rewrite U.S. bankruptcy law to help troubled mortgage borrowers avoid foreclosure, Chief Executive Vikram Pandit said on Thursday.



Illinois Governor Rod Blagojevich gestures as he announces former Illinois Attorney General Roland Burris as his choice to fill the vacant U.S. Senate seat of President-elect Barack Obama during a news conference in Chicago, Illinois December 30, 2008. (Frank Polich/Reuters)Reuters - A legislative committee on Thursday recommended the impeachment of Illinois Gov. Rod Blagojevich, citing widespread abuse of power including allegations he tried to sell the U.S. Senate seat vacated by President-elect Barack Obama.



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Usama al-Kini, Al Qaeda's operations chief in Pakistan, is pictured in this undated FBI Most Wanted photograph. Al-Kini, also known as Fahid Mohammed Ally Msalam, and a top aide are believed to be dead, a U.S. counterterrorism official said on January 8, 2009, in what appeared to be the latest results of a campaign targeting the militant group's leadership. Operations chief al-Kini was thought responsible for attacks, including the bombing of a Marriott hotel in Islamabad that killed 55 people in September, and an unsuccessful attempt to kill former Pakistani Prime Minister Benazir Bhutto, who was later assassinated in a separate attack, the official said. (FBI/Handout/Reuters)Reuters - Al Qaeda's operations chief in Pakistan and a top aide are believed to be dead, a U.S. counterterrorism official said on Thursday, in what appeared to be the latest results of a campaign targeting the militant group's leadership.



US Secretary of State Condoleezza Rice speaks to an unidentified aide during a Security Council meeting at the United Nations. Israel and Hamas have launched heavy air strikes and rocket attacks on each other, ignoring a UN Security Council order on the warring rivals to end their conflict.(AFP/File/Timothy A. Clary)AFP - Israel and Hamas launched heavy air strikes and rocket attacks on each other Friday, ignoring a UN Security Council order on the warring rivals to end their conflict.



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