Paces Staffing Kay Stanley. Once a successful recruiter, now desperate, dishonest and without integrity, filled with bitterness over a failing business, Internet

I was hired by Kay Stanley of Paces Staffing in 2009. A recruiter working at Paces introduced me to her, and after many meetings, I started in July 2009 as a Director of Recruiting. There were warning signs that the business was not the booming business it was portrayed to be by Ms Stanley and her accountant husband Gary Ascher. The recruiter who introduced me called me during the interview process and told me the environment was dysfunctional and unstable. I firmly believed that I could correct and build Paces Staffing. How difficult could it be? It is a five recruiter mom and pop shop, which compared to my previous roles was very straightforward. I had also been assured by Ms Stanley that she would not stand in my way of developing the business in any sense

Paces Staffing, I was told repeatedly had weathered the economic storm and was in a strong financial position to take the business to the next level. I have a background in attorney recruiting and my brief was to set up an attorney search division, open new offices around the US, and essentially build the business enough for Ms Stanley to sell it. The time had come (she is mid/late 60s) for her to smell the roses, and spend more time at her beach condo. It was an interesting opportunity to build what I believed was a successful business into a national staffing chain.

 

Ms Stanley could not pay me my former salary, but instead offered me a much lower salary and 30% of the business, which I would accrue over 3 years. Ms Stanley explained the reason for the lower salary was in part because of the share option I had been given, but also because they needed to have the funds to implement my many ideas for improvement. My visa was approved, and although the share agreement was not finalized, I was encouraged to start. I was reticent without having the share agreement in place. However Ms Stanley personally told me not to worry about the share document. Theyd been in business 30 years and were good Southern people who kept their word. I persisted over several weeks (every single week) about this share document. It was never forthcoming, though it was the very least of the issues at Paces.

 

I spent my days learning their business style/working with the recruiters, and my evenings re working text for three new websites which were planned. I kept this text on my home pc and often thought Id send it to them as a gesture of goodwill. Wed also sought a database, as their current systems were archaic. I realized that although there were only four legal recruiters, it was an extremely dysfunctional organization, caused primarily by Ms Stanleys outdated management style. I have not experienced this level of non performance in an organization before. Ms Stanley had certainly operated a successful business previously. The business was once considered one of the leading legal staffing businesses in Atlanta. Unfortunately for Ms Stanley, her most successful recruiter, Kimberly left and set up a competing business, Paramount Staffing, and many if not most of the clients began working with Paramount. There was a subsequent law suit, and Ms Stanley received a sizeable settlement from Kimberley.

 

However, despite this settlement, Kimberly did what Ms Stanley was not ultimately able to do. She built a successful business, and sold it to a larger corporation for millions of dollars, a substantial return on her investment. To this day, one cannot mention the words Kimberly or Paramount at Paces Staffing. Hearing those words would send Ms Stanley in a fit of rage.

 

Despite Ms Stanleys promise to let me make decisions, she could not remove herself from decisions, and her decisions ultimately cost us business. Bidding on a project for Jones Day, Ms Stanley insisted we quote the same price whether on or off site. This was a serious mistake, which I did not agree with. Even Ms Stanleys husband realized it was a fatal flaw in the RFP which accordingly demonstrated no grasp of basic financial principles. It likely cost us the project. Ive read the other reports on this site. It certainly is true that Ms Stanley will stand over staff and dictate emails.

Ms Stanley was so volatile that even her husband kept business information from her to avoid her rages. On one occasion, a client had effectively avoided paying a $40,000 invoice for temporary staff. Ms Stanley was not told, and all staff were told that it was absolutely never to be mentioned. It was not mentioned to her at all during my time at the company, likely not to this day.

 

Approximately a month into my new role, I was ready to offer business to web developers and also a database supplier to upgrade our systems. It was at this time that the Administrator informed me that not only could Paces Staffing not afford the websites and database, they had for several months had difficulty making payroll. The temporary payroll was factored, allowing Paces Staffing to borrow money on the receipts, but this in itself was not enough to keep Paces Staffing in the black

I was truly shocked at this point. It was not what Ms Stanley had represented in any of her many many meetings with me on the subject.

 

Paces Staffing have major financial problems. They renegotiated their property lease taking the refit allowance as a rent free period, (no refit). When the rent was to be finally paid, it could not be, and wasnt paid for several of the months I worked there. Aside from June 2009, Paces Staffing had run at a loss in most of 2009 and 2010. Most of the staff came under scrutiny and pay cuts were discussed. Firm plans were made to lay at least three of them off during my tenure. One in medical, the receptionist (who walked out), and a legal recruiter. The administrator and myself took significant pay cuts. Even then, I was frequently paid days late due to cash flow. Expenses took weeks to be repaid. Advertising/job board budgets were very tenuous. Despite this, Ms Stanley paid $10,000 to the Atlanta Associate of Legal Administrators, so that she could remain the titanium level sponsor. Though it was money Paces could ill afford, Ms Stanley told me that she could not bear the thought of Kimberly taking the titanium sponsor spot. Ms Stanley did not have the funds in the company account to cover this and accordingly put it on a credit card which would hopefully be paid over the year.

 

On December 21, 2009, in a meeting with Ms Stanley, I realized that I would not be working for them for very much longer. Ms Stanley informed me that they had decided to reduce my share option from 30% to 15%, as they had decided to offer their administrator 15% of the business also. It made no sense for me to continue working there. Ultimately, as I discussed with Ms Stanley, 15% of 0 is 0, and this is what the business was worth as a going concern. However, I could no longer work for someone with zero integrity. Ms Stanley and her husband are such people.

In January 2010, the recruiter who had introduced me, then warned me about Paces Staffing resigned. She could no longer tolerate it.

In March 2010, Paces Staffing could no longer afford to pay my already reduced salary. My lawyer had told me that there was an option. I could opt to go on a leave of absence, and this would release Paces Staffing from having to pay me. It was interesting that the day after I shared this with the administrator, Ms Stanley told me they could no longer afford to pay me. I left shortly thereafter on a three month leave of absence. It was one of the lowest points of my career to date, having to lie to the staff about my reasons for leaving the company.

They eliminated my position via voicemail. Gary Ascher had to do this. Ms Stanley likely, was too embarrassed after her twisting and turning over the last few months.

There are some ethical issues that Paces Staffing fell foul of, certainly in regard to presenting their candidates to clients. That is their business and I dont feel the need to address it at this point.

After having left the organization, I spoke to several former recruiters including the head of the medical group. Most shared my experiences (the former head of medical had precisely the same experiences with me with his share agreement). One said that Ms Stanley was disgusting, and another that Gary Ascher could not be trusted as far as he could be thrown. A slippery snake was the quote.

At this point, I do feel for Ms Stanley. Her dreams of selling the business for millions of dollars are gone. I would imagine she will be liquidating her assets, the biggest being a home in Atlanta imminently, and planning a more modest retirement. I wish her the best. I hope that her leaving the business will finally allow her the peace that she has not had since her best recruiter, Kimberly left.

Despite the Administrators record at the company (15 or 20 years) and her loyalty to Ms Stanley, she knows, as I do, that everything in this statement is true.