Tag: scruples haircolor

Hair Salon Owners Sent to Jail for Payroll Tax Fraud

Joseph and Vidal

 

A husband and wife who owned and operated hair salons in Southern California were sentenced to prison for failing to pay payroll taxes.

John D. Pham and Annya A. Nguyen, both of Laguna Niguel, operated hair salons under the Fantastic Sams name at various times since 1985 in the cities of Orange, Laguna Niguel, Aliso Viejo, and Rancho Santa Margarita.

On Oct. 1, Pham was sentenced to serve 37 months in prison and three years of supervised release. He had previously pleaded guilty to a charge that he had willfully failed to account for and pay income and Social Security taxes withheld from the wages of employees of one of the corporations involved in the scheme. He admitted that he and his wife had incorporated 10 companies, all of which had failed to pay payroll taxes from 1996 through 2004.

On Sept. 4, Nguyen was sentenced to serve five months in prison and three years of supervised release. She previously had pleaded guilty to a charge that she had conspired with Pham to defraud the United States by impeding the Internal Revenue Service in the collection of taxes. She admitted that the conspiracy spanned a period of at least eight years and involved a loss to the government of over $770,000 of payroll taxes. Nguyen also admitted that she failed to pay more than $80,000 of her federal income tax liabilities during the same time period.

Nguyen and Pham were also accused of diverting assets from some of the corporations they controlled to their own personal benefit.  Both were ordered to jointly pay restitution of $629,105 to the IRS.

A BIG CHANGE IS COMING TO OUR INDUSTRY!

 

 

 

Josephkellner.com

 

Keri Gorder, until recently the manager of a hair salon in Great Falls, Mont., said she was surprised last month by a document that her company wanted stylists to sign.

Ms. Gorder said the salon’s parent company, the Regis Corporation, had urged the four stylists at her salon, Cost Cutters, to sign a document that would seemingly nullify any future support they showed for unionization.

Labor leaders in Montana accuse the company of seeking to take away the stylists’ right to form a union. But Regis says the document merely seeks to ensure that workers choose unions through a secret-ballot election — at a time when unions are pushing legislation in Congress that would make it easy to bypass secret ballots.

The document the stylists at several Montana salons were urged to sign said they were agreeing to revoke any future signature they put on a pro-union card that could be counted as showing support for unionizing.

“I thought it was taking our right away before we ever exercised that right,” Ms. Gorder said.

She said her area supervisor had pressured the stylists to sign the cards. “The area supervisor said, ‘I would do what the company wants you to do,’ ” Ms. Gorder said, adding that she quit her job this month because of her dismay over the situation.

Soon she informed labor leaders about the document, and now they are threatening to picket the salon and hand out pro-union fliers.

“It’s the craziest thing I’ve ever seen,” said Ole Stimac, president of the Central Montana Central Labor Council. “I’ve never seen anything where you sign away your rights for eternity to unionize.”

Regis executives said they had distributed the document out of concern that Congress would enact legislation backed by labor that would require employers to recognize a union as soon as a majority of workers signed pro-union cards, without holding a secret-ballot election.

Paul Finkelstein, chief executive at Regis, the nation’s largest hair salon company, said many employees signed such pro-union cards without understanding that it could commit them to joining a union. Mr. Finkelstein said the company’s focus groups showed that employees overwhelmingly favored using secret ballots to decide whether to join a union.

The document the hair stylists were asked to sign, titled Protection of Secret Vote Agreement, said, “In order to preserve my right to a secret-ballot election, and for my own protection, I knowingly and without restraint and free from coercion sign this agreement revoking and nullifying any union authorization card I may execute in the future.”

Mr. Finkelstein said the document was intended to ensure that the employees’ cards were never counted to show majority support for a union — in case Congress someday enacted the union-card legislation.

“The sole issue is that our people want to use a secret ballot,” he said, asserting that union organizers often manipulate workers into signing pro-union cards, known as authorization cards.

Mr. Finkelstein added: “We’re not threatening people, ‘You’d better sign.’ It’s totally voluntary.”

William B. Gould IV, a Stanford law professor and former chairman of the National Labor Relations Board, said, “It seems like a modernized version of the old yellow dog contract,” a provision, now illegal, that many employers used to push workers to sign, pledging not to join a union as a condition of employment.

Assessing the salon document, Mr. Gould said, “I think it’s illegal because an authorization card is the principal vehicle unions use to organize the unorganized.”

Under current law, at least 30 percent of a workplace’s employees must sign cards to lead to a secret-ballot election. Mr. Gould said that under the Regis document, cards signed to seek a secret ballot would automatically be revoked.

Joseph Kellner Haircolorist 10 Strategies to Grow Your Company During an Economic Downturn!

Haircolor/Make-Up
Haircolor/Make-Up

Most companies envision recession as a time to tighten belts and safeguard reserves. Any plans for acquisitions and mergers are often placed on hold until the economic turmoil blows over. But what many companies don’t know is a recession yields tremendous opportunities. Because while other companies are holding onto their cash tightly and shrinking their workforce, many opportunities are overlooked that can provide a huge competitive advantage.

Companies that learn how to take advantage of special opportunities that are unique to a recession will pull ahead of the competition. Because while the competition is struggling, successful companies are implementing growth strategies that will ramp up stock prices and grow revenue.

1. Ignore Conventional Wisdom

When creating strategies in times of recession, conventional wisdom should be thrown out the window. Instead of locking up your assets and stopping growth activities, you need to create new strategies that foster growth. Because finding the right opportunities during economic downturn can propel your company ahead of the market leader.

2. Reinvent Management Strategies

Some senior managers get stuck in the traditional way of accomplishing business. But management has to accept innovative growth strategies for a company to succeed. Everyone needs to understand that while a growth strategy during a recession isn’t traditional, there are huge gains to be made during this time. Having buy-in from all senior managers will promote success.

3. Keep All Options on the Table

Most companies clam up during hard times–tabling plans for acquisitions and mergers. Historically, successful companies have done the complete opposite. They seek opportunities to grow through acquisitions and mergers. And because other companies aren’t participating in these types of activities, there are special opportunities available.

4. Don’t Be Conservative

Getting ahead in tough economic times means not being conservative. Instead of hunkering down to weather the recession, look for opportunities to grow and acquire. In previous recessions those who were conservative didn’t come out ahead. Successful companies become market leaders by focusing on growth and taking over market share.

5. Loosen Up on Cash Reserves

It’s natural for companies to hold onto cash during a recession. But this strategy won’t get you anywhere with growing your business. Loosening up on your cash reserves will allow your company to participate in growth activities such as strategic acquisitions and mergers. The companies that thrived in previous recessions allowed their reserves to dip 41% lower than other companies.

6. Focus on Smaller Deals

Acquisitions and mergers are important to a company’s growth. These activities are advantageous because it’s much more expensive to grow a company organically then to acquire an established business. But during a recession, it’s important to focus on a large amount of small deals. Companies that implemented this strategy during previous recessions experienced the most impressive results.

7. Don’t Slash Your Operating Expenses

Many business owners are focused on cutting operating expenses during tough economic times. But companies that don’t cut these expenses do better then the competition. Because cutting operating expenses doesn’t support growth activity; it can actually limit your company’s ability to grow. Instead, focus on strategies that promote growth while maintaining the current level of spending.

8. Ramp Up Research and Development

Research and development is an area that often gets cut. But this area is essential in providing opportunities for growth. Ramping up research and development will enable a company to grow instead of lagging behind the competition.

9. Increase Advertising Expenditures

A company needs advertising to grow and expand. Yet some companies believe that trimming expenses in the advertising cost center will help them stay afloat. However, successful companies take the opposite approach to advertising. Industry leaders actually spend more money during a recession. Advertising is an important component to growing business. So don’t be afraid to ramp up your advertising budget.

10. Don’t Avoid Risk

Some business owners are steering clear of potential risks, afraid it will put their company in danger. But not taking risks during a recession may cause your company to fall behind. Because with the untapped growth opportunities available during this economic downturn, those who fall behind may not have an opportunity to recover. And for those willing to take risks, the payoffs are huge with the potential to take over market share and become an industry leader.

If your company is willing to change its approach to handling a recession, the rewards can be well worth the effort. Creating a strong growth strategy can change your businesses’ course in a very positive direction. Because historically market leaders have emerged during these tough economic times.