re: How Would You Handle? Employee spends too much on company card. But is top producer...

You have rules in place. There's a tactful way to have a conversation with him. Have it.

My company changed expense rules mid year one year no real rules to $50 unless you had a customer and all expenses on your corporate card. We had a team that averaged 150% attainment. Our manager fired all 8 of us on violations on expense policy. Still have a ton of friends there, he wa demoted to an individual contributor and that team hasn’t broken 75% attainment since.

If this is the hill you want to die on with this employee by all means do it, but are you ready to give up their revenue or pay more to go hire someone of their caliber?

As far as your other employees they will fall into 2 camps, 1 one groups will be motivated and seek ways to overachieve and one group will sour because this new thing isn’t fair. One group will up their game and one group should be replaced.

Wait until your other employees find out about this.

He just doubled your allowed amount.

I suggest telling him he needs to seek approval to go over the limit like that. If it was $150 I could see it. Systems exist for a reason and they should be followed. This allows him to continue to go over but keeps you in charge of it. You don’t even have to say no, this still gives you the power.

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This. Max per diems are stupid. We have no limit on per diem and people end up spending way less. Every other company that I’ve worked for that had a max, people will literally do anything to spend every bit of it.

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No, they are not. Additionally, if it's per diem there are no receipt requirements. The employee gets that amount every day whether he spends it or not. This is for business travel and is per the IRS guidelines.

Don’t be a pussy you must establish your dominance. He works for you. Obviously he needs to be rewarded for being your top earner.

It’ll get worse unless you talk to him. It’s a $250 steak dinner right now, but if it goes on for a year it’ll grow to $1000.

Well your are discriminating to all the other employees and they will see him doing this and that’s when you will get railed. You better rein him or you are screwed.

Just tell him to slow down and to keep it within reason of the allotted amount. If he still doesn’t get the message at that point then he’s taking advantage of you which is a different conversation.

How did you get to be in a position with people working for you but still don’t know how to handle a simple situation like this?

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Ding Ding Ding we have a winner. Dude keeps the company afloat, get over his big man dinner.

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Wrong, op simps for a guy that’s easily replaceable. How do we know this guy ain’t milkshaking the other salesmen?

He is putting Gross Profit dollars in the bank.

Which is higher? $150 per day every day, or $250 per day occasionally and $50 multiple other days?

The question you need the answer to is if he is going over his monthly allocation for per diem expenses.

The bottom line is what matters. Not arbitrarily set spending "guidelines".