Handling your agency employees’ side hustles

It’s not new that agency employees may have other jobs on the side, but the “side hustle culture” does seem to have exploded in recent years.

So how do you manage it in a way that respects your team’s freedom while also protecting your business?

I’ll explore that later, but first let’s look at what Jen has rounded up for us this week.

— Chip Griffin, SAGA Founder

Latest from SAGA

AI UNLOCKS THE REST OF THE PESO MODEL. Most owner-led agencies are strong in one or two media types and have always known they should be doing more, but the barrier was capability, not willingness. In the latest Agency Leadership Podcast episode, Chip and Gini dig into how AI is making the full PESO model accessible to agencies that couldn’t justify hiring specialists for every discipline.

Jen’s Weekly Roundup

Here’s what caught my eye this week:

STOP GHOSTING YOUR OWN PROSPECTS — Agencies spend a lot of energy worrying about prospects who go dark. Lee McKnight Jr. at RSW/US points out the problem often runs in the other direction. Agencies go dark on their own prospects, usually without meaning to, because client work gets busy and a promising lead falls through the cracks. The fix is staying top of mind with something actually useful. And on the Innovative Agency podcast, guest Jesse Lipson of Levitate makes the same argument at the relationship level. Most agencies struggle to keep in touch with important contacts, and that’s costing them referrals and long-term trust.

IS YOUR FIRM AT RISK? — 2Bobs takes a look at which types of firms are most vulnerable right now, including agencies hitched to a software platform, small generalist firms, and firms built around affinity positioning. AI is accelerating all of these vulnerabilities. The firms that survive will be tightly positioned, known, and trusted.

THE VISIBILITY PROBLEM HAS TWO HALVES — At Spin Sucks, our friend Gini Dietrich talks about the two visibility gaps. The external gap (can AI systems your brand?) and the internal gap (whether your leadership connects the work you’ve been doing to the headlines they’re reading) both need to be closed for you to be successful. And Shel Holtz and Neville Hobson on For Immediate Release discuss that external side. The Economist is already building a parallel AI-readable version of its website, and the lesson for every communicator is that your press releases, bios, and FAQs are increasingly being read by AI agents before they reach a human.

THE BEST OF THE REST — On That Solo Life, Kara Ryan of Klyr Strategies argues that authenticity in leadership communication is a strategic discipline, not a personality trait. The gap between how a leader acts in the hallway and how they perform at the podium creates a trust deficit that messages alone can’t close. Brad Farris at Anchor Advisors writes about how humor is not just a nice-to-have — teams that laugh together perform 13% better, and leaders who can be self-deprecating create the psychological safety that makes teams function. And if you’ve been putting off writing that book because you don’t have the time and don’t know what you should write about, Blair Enns at Win Without Pitching offers up two ideas that finally unlocked him as a book writer.

— Jen Griffin, SAGA Community Manager

Handling your agency employees’ side hustles

When I was just a young pup, agency employees with jobs on the side were mostly doing things like weekend bartending.

Then, as the World Wide Web came into existence (yes, we used to actually call it that), some with technical skills picked up web design projects on the side.

And, of course, creative types might have been wedding photographers or something similar.

Today, technology lets far more people take on side gigs far more easily. That means agencies need to think about what policies to put in place to balance employee freedom with business necessities.

(As usual, I suggest you consult with an HR consultant or employment attorney who can advise you on the nuances of employee policies in your specific circumstances.)

First, make sure you have all the basic employment policies in place, like nondisclosure and nonsolicitation agreements. Your current employees should not be undermining your existing business in any way.

Then ensure they are not using agency resources to support their side hustles. That’s much less of a problem today than it was 30 years ago, since most side gigs don’t require much infrastructure.

Finally, make sure the side hustle isn’t negatively impacting their work performance. I personally wouldn’t lose sleep over someone doing a bit of side work during the workday, as long as agency tasks were getting done in a timely manner.

But if someone misses meetings or is overtired from working on the side, it becomes a problem you need to address.

That’s why clear, written policies matter so much. They need to spell out for employees what is (and is not) permitted, along with any notification or approval process you expect for side gigs.

Don’t let employee side hustles scare you, though. They can be beneficial to your agency in multiple ways.

If an employee is running a small business on the side, it helps them learn the basics they can carry over into the work they do for you and your clients.

It can also reduce financial strain on some individuals, making it easier for them to work within the salary constraints of your firm without feeling compelled to find a more lucrative position as quickly as they otherwise might.

In many cases, it will also let them flex their creative muscles and perhaps pick up ideas they can translate into their full-time roles.

Of course, not all side hustles work out.

Many years ago, I had a pair of employees who were doing consulting on the side using my company’s resources. I discovered it (they didn’t realize I was technical enough to see their activity on our servers) and warned them.

They kept doing it anyway. Both were terminated, and one became one of the three most dramatic (and, only in hindsight, entertaining) termination stories I sometimes share with clients.

So don’t discourage employee side hustles, but have clear policies in place to protect yourself, your clients, and your team members.

Done right, they’re a good thing.

Share:
Facebook
Twitter
LinkedIn
Email
Never miss an issue of this newsletter!

Get the latest SAGA insights, podcast episodes, and more delivered straight to your inbox.

Get this newsletter in your inbox for free.

Receive weekly insights from Chip and a roundup of useful resources from Jen. Plus the latest episode of the Agency Leadership Podcast.

Subscription Page Form
Recent Newsletters