In leaked letter, Hobby Lobby CEO says stores 'will likely reopen gradually' and urged furloughed workers struggling to collect unemployment to remain 'vigilant and strong'
- Hobby Lobby CEO David Green sent a letter to employees on Monday outlining a possible reopening plan that he said will likely happen "gradually" and will be staggered "as various parts of the country recover" from the coronavirus outbreak.
- Green recapped what he called the "gut-wrenching decision to temporarily close" stores and furlough employees, calling the decision "imperative to help employees and the company sustain during this unprecedented crisis."
- The note comes after Hobby Lobby quietly reopened stores at the end of March in defiance of state lockdown orders that ordered for the closure of nonessential businesses like craft stores.
- "Honestly, they burnt so many bridges with us, it's insane," a Hobby Lobby employee in Ohio told Business Insider after she received the letter. "I can tell you there isn't a single employee that I've talked to that respects the company anymore."
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Ten days after shuttering Hobby Lobby stores and furloughing employees, CEO David Green is eyeing possible reopening plan for the arts-and-crafts store, which he said will likely happen "gradually" and will be staggered "as various parts of the country recover."
In a letter sent to employees on Monday and obtained by Business Insider, Green recapped what he called the "gut-wrenching decision to temporarily close" stores amid the coronavirus, calling the decision "imperative to help employees and the company sustain during this unprecedented crisis." The decision came after the company quietly reopened stores in March in blatant defiance of lockdown mandates calling for the closure of nonessential businesses in including craft stores like Hobby Lobby.
In separate memos, which were both obtained by Business Insider, executives at the time told managers "to make every effort to keep working employees" and provided talking points on "how to respond and communicate if they are visited by a local authority that asks why were are still open."
In Monday's letter, Green outlined his future plans for the company, noting Hobby Lobby intends to open stores at different times based on shifting state protocols.
"As we look forward, we do not anticipate all stores will reopen at the same time," Green wrote. "Instead, stores will likely reopen gradually as various parts of the country recover. In the meantime, we continue to fine-tune the best practices we began before the stores closed to provide a safer work environment for our employees and safer shopping experience for our customers."
However, several Hobby Lobby employees previously told Business Insider that the company failed to enforce adequate cleaning and social distancing policies after they reopened. An employee in North Carolina said earlier this month that her team was asked not to wear gloves or masks while working because management told them "it would make customers uncomfortable."
Hobby Lobby did not respond to Business Insider's request to comment on the letter and the reopening plan.
Green wrote that employees should "remain vigilant and strong," adding that he will "continue to pray daily for the health and well-being of you and your families." The executive had formerly been derided for reportedly claiming that he left stores open based on a message from God.
"I believe that we, and all other retailers, can operate in a responsible way while the country works toward the eradication of this insidious virus," he wrote.
Though Green wrote that Hobby Lobby encouraged employees to request unemployment, one employee said he applied two days after the furlough was announced on April 3 and has yet to hear anything back from his state's unemployment office. He has joined the more than 16.8 million Americans that have filed for unemployment in the past three weeks, many of which are struggling to get help from overwhelmed unemployment offices as the country's jobless rate swells.
The employee, who spoke to Business Insider on the basis of anonymity out of fear of retribution, expressed frustration that the company promised hazard pay - after first refusing to offer sick leave pay- only to reverse the policy in favor of furloughing workers.
"It's crazy. They told us for a couple weeks or two we would get emergency pay, then they completely caught us off guard by telling us to apply for unemployment," he said. "It felt a lot like a f*** you to the employees for complaining about conditions."
Another employee at a Hobby Lobby store in Ohio told Business Insider after receiving the letter that her perception of her employer has been permanently damaged.
"Honestly, they burnt so many bridges with us, it's insane," she said. "I can tell you there isn't a single employee that I've talked to that respects the company anymore."
She continued: "Hobby lobby is profit hidden behind a religious facade. They will grab a used tissue off the floor and sell it in the name of Jesus."
Read the full memo, below:
April 13, 2020
Dear Hobby Lobby Family,
As we all continue to cope with the disruptions caused by the COVID-19 virus, I want to provide you an update of where we have been as a Company over the last few weeks, where we stand now, and where we hope to be in the very near future.
On April 2, 2020, we made the gut-wrenching decision to temporarily close the remainder of our stores, and furlough nearly all store employees and a larger portion of corporate and distribution employees. We believe this decision was imperative to help our employees and the Company sustain during this unprecedented crisis. We encouraged all furloughed employees to file claims with their state's unemployment commission to take full advantage of the Pandemic Unemployment Compensation provided by the federal government under the CARES Act. We encourage any furloughed employees who have not filed claims yet to do so as soon as possible.
We continue to maintain medical, dental, life, and long-term disability benefits for eligible employees while furloughed through at least May 1, 2020, and are paying the cost of employee premiums for these benefits on behalf of eligible employees while furloughed without pay. We will re-evaluate the situation in late April, and will provide an update to everyone before May 1st.
Like everyone, we are attentively monitoring the pandemic. While the news, and our emotions, ebb and flow with each positive and negative piece of information, we are optimistic things are improving, although maybe not as quickly as we all desire.
Our Company was strong when this crisis began. With the steps we have taken over the last several weeks to sustain the Company, we are reasonably confident we will regain our strength and be prepared to successfully resume operations as the economy begins to back up.
As we look forward, we do not anticipate all stores will reopen at the same time. Instead, stores will likely reopen gradually as various parts of the country recover. In the meantime, we continue to fine-tune the best practices we began before the stores closed to provide a safer work environment for our employees and safer shopping experience for our customers. I believe that we, and all other retailers, can operate in a responsible way while the country works toward the eradication of this insidious virus.
We will provide you further updates as things progress. In the meantime, please remain vigilant and strong. You have always been the foundation of this Company, and I am so very grateful for each of you. It will take all of us working together to help our Hobby Lobby family bounce back. We will continue to pray daily for the health and well-being of you and your families.
God Bless,
David Green
CEO & Founder
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