Burkholder also cautioned store owners against getting themselves in a scenario where an employee just wants to vent and get something off their chest, but doesn't necessarily want anything done about it.

Photo/RTO Online

Attorney Vaughn Burkholder of employment law firm Foulston Siefkin.

Employment law and in-store merchandising were the topics most requested in a poll of Kansas Rent-to-own dealers. Based on that poll, employment law Attorney Vaughn Burkholder and DSI were chosen as speakers for this week's Kansas Rental Dealers Association (KARD) meeting near Topeka, Kansas.

More than forty RTO professionals attended the largest-ever KARD meeting, sponsored by Nationwide Southwest and Nationwide RentDirect.

Employment Law

The opening speaker, Attorney Vaughn Burkholder of employment law firm Foulston Siefkin received several questions from the dealers with regard to hiring employees. Burkholder walked the dealers through various interview scenarios and explained the importance of avoiding discrimination when hiring and terminating employees. Burkholder reminded the group that in today's business climate, "Anybody can sue anybody else, at any time, and for any reason."

Burkholder also cautioned store owners against getting themselves in a scenario where an employee "just wants to vent" and get something off their chest, but doesn't necessarily want anything done about it. He reminded the dealers that even in that case, depending on what the employee says, that employee should be cautioned that the dealer may be required to act on whatever issue is brought up if it involves discrimination against a protected class (race, gender, religion or national origin).

He also encouraged dealers to educate themselves on state statutes that might be more restrictive than federal law. For instance, the Kansas Act Against Discrimination applies to businesses with 4 or more employees, even though Title VII of the Civil Rights Act of 1964 applies to businesses with 15 or more employees. Also unique to Kansas, although the Age Discrimination in Employment Act (ADEA) applies federally to provide protection for employees 40 years and older working in businesses with 20 or more employees, the Kansas Act Against Discrimination protects workers aged 18 and older. That means unless a valid business rationale exists – for instance your insurance company won't provide coverage for workers under a certain age – dealers can not apply arbitrary age limits to various store positions. Under the Kansas Act Against Discrimination it would be illegal for a dealer to not hire a younger employee based on the dealer's opinion that workers of a certain age are not yet mature enough to perform certain tasks.

Burkholder identified the types of employment decisions where discrimination claims arise. They include hiring, promotion, discipline, compensation, overtime and termination.

He also encouraged dealers to educate themselves on forthcoming changes in the Americans with Disabilities Act (ADA). The ADA has been amended for the first time and changes go into effect January 1, 2009.

Other important employment law facts:
• If you fire an employee, you must pay the employee his or her wages by the next regular payday
• Employers may not deduct funds from an employee's pay for inventory shortages, breakage or losses from negligent acts

Burkholder's office holds day-long employment law seminars at their offices in Wichita, Topeka and Overland Park. Dealers are encouraged to visit www.foulston.com for additional information.

in-store Merchandising

Shawn Keefe and Jewell Dalton of rental distribution company DSI Inc provided dealers with a tutorial on Plasma vs. LCD vs. DLP television sets. They reminded dealers that properly displaying the sets was a simple way to increase rentals.

"The showroom is half the sale," explained Keefe.

Dalton told the group he had been visiting dealers across the country to assist with their electronics merchandising and told of a store where the manager told him he kept some of the television sets off to 'conserve the picture' and save energy. Dalton reminded dealers that the life of most flat panel sets would run close to 20 years, even if they are on 7 days a week, 8 hours a day.

Dalton provided the Kansas rental dealers with this helpful checklist to maximize television rentals and keep rate:

• Is your TV display set up properly?
• Are stores using HDMI Cables? Do you include these with your TV deliveries?
• Do you show a proper mix of LCD, Plasma and DLP sets in a range of sizes?
• Are you using the proper in-store lighting to make the sets visually "pop"? (Lights should be dimmed in the television area)
• Is there a 1080p signal going to each and every TV?
• Can your employees explain the differences in TV technologies?
• Do employees use the remote to demonstrate features on the TVs?
• Do employees suggest add-on items such as Blu-Ray, DVD players, or Home Theatre in a Box?
Dalton also supplied questions rental employees should ask customers when they are shopping for a television so that they select the unit that's right for them:
• Is this your primary television?
• How large is the room it will be viewed in?
• How much backlighting is there?
• Will anyone play video games on it?
• What is the signal source you are using?

The Kansas Rental dealers will hold their next annual meeting in June or July of 2009, at a date and location to be announced later.