Thread regarding Hobby Lobby Stores layoffs

Leaked Letter

In leaked letter, Hobby Lobby prepares to lay off employees and slash salaries to cut costs in states with mandated store closures due to the coronavirus
BETHANY BIRON MARCH 26, 2020

Hobby Lobby is cutting jobs and salaries.
Joe Raedle/Getty Images
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Hobby Lobby is slashing jobs and cutting salaries in states where the company has been forced to close stores due to coronavirus-related state mandates.
In a termination letter obtained by Business Insider, Hobby Lobby told part-time and temporary employees they will be laid off due to "unforeseen business circumstances caused by the COVID-19 pandemic/natural disaster."
Hobby Lobby also plans to cut the pay of salaried managers and full-time workers by 10% and freeze all benefits, according to two Hobby Lobby employees and one manager, all speaking to Business Insider on the condition of anonymity in order to protect their jobs.
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Hobby Lobby is laying off workers and slashing salaries of employees in states where it has been forced to temporarily shutter stores in response to state mandates issued to prevent the spread of the coronavirus.

In a termination letter addressed to part-time and seasonal employees and obtained by Business Insider, Hobby Lobby told employees they will be laid off due to "unforeseen business circumstances caused by the COVID-19 pandemic/natural disaster."

According to the memo, the layoffs will be effective at the close of business on March 27.

"We hope this layoff will be temporary, but we cannot predict how COVID-19 will affect Company operations," the memo states. "We encourage you to file for state unemployment benefits. We appreciate your service to the Company."

Additionally, the company plans to cut the pay of salaried managers and full-time workers by 10% and freeze all benefits, according to two Hobby Lobby employees and one manager, all speaking on the condition of anonymity out of fear of reprisal. Their identities and employment statuses were confirmed by Business Insider.

The employees said the layoffs are expected to impact 20% of the staff in states with mandated store closures.

"The managers have been instructed not to warn employees until it happens, and to not tell other stores at risk of closing down," the Hobby Lobby manager wrote in an email to Business Insider. "[This makes] it harder for employees to receive aid because it will come out of nowhere and they will go from 'report back to work in a few weeks' to 'you're fired.'"

While Hobby Lobby stores have been required to temporarily shutter in states with strict policies regarding the operation of essential versus nonessential businesses, hundreds of stores remain open around the country. In a memo sent to store managers on March 23, Randy Betts, Hobby Lobby's vice president of store operations, wrote that the company "is going to make every effort to continue working the employees."

Further, in a note to employees allegedly written by Hobby Lobby founder David Green last week, the CEO wrote that the employees "may all have to 'tighten our belts' over the near future."

"Guess this is the belt-tightening David Green was talking about in his letter," one employee told Business Insider.

Hobby Lobby did not respond to Business Insider's request to comment.

Hobby Lobby is reversing its hazard pay policy, to the detriment of some employees
The Hobby Lobby employees told Business Insider they were informed that the company would be reversing its former policy of requiring full-time employees to use their paid time off and vacation days before qualifying for hazard pay in the case of store closures or illness. Instead, they will first be paid out for 75% of their rate of pay, based on the average amount of hours worked in the previous six weeks.

However, as a result of not paying employees 100% of their wages for originally scheduled shifts — a policy several major retailers have enacted — one full-time employee said she will now receive less money that she would have under the original plan. She told Business Insider she received a call on Wednesday notifying her of these policy changes so that "no memo can be leaked."

"They have cut our hours to 32 for some and even less for others," she said. "When using vacation or PTO it has to be eight-hour increments. Hobby Lobby will save more money by doing the 75% first."

While executives at companies like Macy's have started to forgo their salaries to help support store workers, one employee said he is frustrated that Hobby Lobby founder Green — whose net worth is estimated at $6.2 billion according to Forbes — has not extended a similar effort.

"Despite this huge public outcry, anytime the upper echelons have been told about the company's morale loss and negative public reception they've been incredulous, disbelieving, shrugging it off as untrue, and in some cases blaming employee greed," the employee wrote in an email.

https://outline.com/bZHDmW

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Post ID: @OP+14btaafS

18 replies (most recent on top)

What most don’t know employees have not had a pay raise in 3 years and most employees can’t afford to loose health insurance and life insurance during all this

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Post ID: @7lxe+14btaafS

David Green opened and owns the “Museum of the Bible” for the sole reason, it’s a way to funnel his money directly from Hobby Lobby to the Museum completely tax free. And on top of that, he asks his employees to donate a portion of their paycheck. So it goes RIGHT BACK into his pocket. How has he gotten away with this for so long. Then, on the Hobby Lobby website he stated he receives so many requests for charity donations & he’s listed who he’ll donate to. Yep, you guessed it... The Museum of the Bible. And in case you missed it, do a quick search for the “Museum of the Bible”. You’ll learn he was buying stolen artifacts for the museum. I have a feeling things are about to get really rough for hobby lobby in the near future. Notably speaking, having their business license revoked by the state. Also will not reflect positively on them with state & local city officials as they’re planning on relocating & building at new locations. City officials will only see them as a nuisance to the community. I can assure you, the cities are taking note!

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Post ID: @7dox+14btaafS

Full time hours cut to twenty five. Vacation pay cut to 25 hours per week. This also means that we will lose our health insurance. Also will not adjust schedule to allow a second job because we are FULL TIME and have to have open availability . This after asking each employee to donate 5 to twenty dollars or more to their bible museum . This is our thanks after many years of loyal service. Thanks David!

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Post ID: @5myx+14btaafS

Looks like Hobby Lobby is making a smart business decision, laying off part-time and temp workers. Full time employees are getting 75% of their normal pay while staying safe at home. People often hate on David Green because of his religion, if you want to hate on a company you should hate on Bridgestone. Bridgestone has a $200 million building in Nashville where around 2000 people work, most of those people are "working" from home at full salary and as far as I can tell no salary employees have given up a penny but retail workers are taking all the risk and huge pay cuts to boot. Unlike Target, Walmart and a few others that are paying employees bonuses, Bridgestone is keeping their auto repair shops (Firestone, Tires Plus, etc) open and some of the employee are making less than half what they were before Covid-19. Hourly retail employees who would normally get 48 hours weekly are now getting less than 35 (with OT that is about a 30+% pay cut) flat rate technicians that are still required to work are now getting paid for around 30 hours when normally they get paid for around 50-80 hours per week so some are taking a 50+% pay cut. The sad part, if a Retail location is closed due to confirmed positive case employees would get paid 8 hour per day after a 3 day waiting period. Bet non-salary Bridgestone employees would gladly take the Hobby Lobby 25% cut and stay home versus taking a 30-50% pay cut while continuing to risk the their health as well as the health of their loved ones by climbing in and out of strangers vehicles for 8 hours a day

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Post ID: @5qal+14btaafS

Hey - There are more posts here:

thelayoff.com/hobby-lobby-stores

or

/hobby-lobby-stores

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Post ID: @4wzk+14btaafS

Yeah I have a feeling their theft might go up cause the last thing they want to have to do right now is call for the police to come to their stores 🤣

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Post ID: @4cxu+14btaafS

Since laws obviously don’t apply to Hobby Lobby, does this mean I can go in their store and take anything I want for free & they won’t call the cops??

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Post ID: @4xbe+14btaafS

Just keep watching, it appears a lot of Hobby Lobby’s unethical business practices are starting to surface. Sadly the employees thought he had their best interest at heart. The employees have been asked to see just how far they can push the line in regards to the law. I promise, more is about to be revealed!

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Post ID: @3nwe+14btaafS

WHY DO YOU ALL HATE OUR COMPANY SO MUCH? THE COMPANY WAS GOOD TO ME AND MY FAMILY

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Post ID: @3ghb+14btaafS

I stopped shopping at HL a few years ago after some of their ridiculous religious beliefs. I hope now more people will stop shopping there. So much for being “good Christian people”.

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Post ID: @3kjd+14btaafS

There are more posts here:

thelayoff.com/hobby-lobby-stores

or

/hobby-lobby-stores

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Post ID: @3uqi+14btaafS

Christian company my eye I got the part time worker lay off letter. And I don’t feel like I’ll get a call back. Hell I was only working 3-10 hours a week since Christmas. Stores stayed open because his wife Green’s wife had a vision from God. Then he refused to pay sick benefits for employees. He’s about the almighty dollar not the almighty. People need to boycott them when they reopen for the simple fact of how they treat employees. It’s total c-ap and hypocritical. They expect so much from employees then screw them over. With $6 billion dollars made from the employees sweat Green could come up off some Green but he won’t because he only cares about number one. Well dude karma is a b–ch.

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Post ID: @3ozf+14btaafS

I have worked for hobby lobby for 10 +
years. We have an amazing team at our store. Our management is the best by far. Our managers and District manager have called to plead with corporate about closing down, especially since our governor has extended the “essential and nonessential” list. But since they didn’t say “craft store” specifically they will not close. You know, after working for a company for so long and being faithful to their success doing my best to do my job properly...it really feels like a smack in the face. They say they care, but they sure don’t. 75% of our pay? You’ve got to be kidding me. We have put up with a lot of bs over the years, but this takes the cake.

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Post ID: @3upg+14btaafS

What would Jesus do if he had 6 billion dollars??

Check this theory out instead, you give each employee 100% off their pay, and an additional $500.00 check.
Just rounding up rough numbers here. Let’s say 35 employees per store( some have more, some have less). Roughly 900 stores.
35 x 900 = 31,500 employees, call it 32,000
32,000 x $500.00 = $16,000,000.00
THAT’S HOW you BIBLICALLY step up as a company is completely based on CHRISTIANITY and give to(soon to be) the poor. You know the little nobody’s that make you all your money. There are stores within the company that last fiscal year profited over $10,000,000.00........that’s after man-hours, overhead and product are paid for. Really, 10 million, and you have just shy of 1000 locations. They don’t all make this kind of money, point being, use your PTO and vacation 1st? 75% of pay? What a slap in the face. Shout out to the lobby for kicking me in the boys while I’m down and out.
🎤 DROP

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Post ID: @3ytm+14btaafS

Layoffs are expected during this time of crisis. There are humane ways to lay people off. This is not a humane way to lay people off.

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Post ID: @2ybf+14btaafS

Amazing, a guy that’s worth nearly $7 billion, says he’s a man of God, yet makes it obvious what his true intentions are. Typical! A true Christian abides by the law without looking for loopholes for self personal profit. Why is it fair that other businesses struggling month to month follow the non-essential business closure, while this billionaire continues to profit saying his wife had a vision from God to remain open? Per their website, it says they receive so many requests for donations to charities and how they will only donate to what is listed. Guess what? It’s the “Museum of the Bible”. They own that! Hypocrites!!!

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Post ID: @2ufn+14btaafS

The owner of Hobby Lobby should be so ashamed of himself! Tell me again how much he is worth?

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Post ID: @2joc+14btaafS

The layoffs have not just affected stores that have been forced to close. We are currently operating under normal business hours but we are only allowed 10 customers in the store at a time. It is true that full time employees have had hours cut to 32 a week. We are all terrified to even go to work, but if we choose not to we must use our vacation time if we have it or not get paid at all. This in no way greed among the employees in our store, we are more of a family than co-workers. It was absolutely heartbreaking to see 7 of our team get laid off especially in such uncertain times. We are all doing the best we can to try and stay positive, and take care of our customers. But there is always that fear of getting sick, even if our governor mandates that all non essential stores close we will have to remain open. As cases continue to pile up in our area its getting harder to stay positive. The only greed i see here is that of David Green himself. I used to think i worked for a wonder company, the only thing that keeps me there now is knowing that my co-workers need me.

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Post ID: @1yjk+14btaafS

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