The Employer-Employee Relationship
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The Employer-Employee Relationship

The Employer-Employee Relationship

The employer-employee relationship is crucial to get right for your small business. The reason is apparent. When a small company hires a new employee, they’re not just joining a new place of work. Instead, an important and critical new relationship forms… that of the employer and the employee. Getting this right can be monumental for your business. You’ll have someone new who is an expert at what they do and dedicated to using their tools and craft for your business. However, if it goes wrong, you’ll have lost a significant part of your company. 

This blog will be all about the employer-employee relationship and its meaning for your business. 

What is an Employer-Employee Relationship?

The employer-employee relationship represents two people who work in the same company. One is either a more senior or the actual employer, and the other is an employee. It should be a mutually respectful relationship. Some people choose to be friends with their employees outside of work, while others prefer to keep a distance. However you choose to execute this relationship, one thing is clear. Respect should be the basis for both ways of the relationship. 

The relationship is one of mutual reliance. We mean that the employee is dependent on the employer to pay a salary and guide them through any processes necessary to the job. The boss will also enable them to support themselves, their lifestyle, and any family they might have. Similarly, an employer relies on their employee to do their job well and in the best regard for the company. 

Does the Relationship Build Over Time? 

As with all types of relationships, it builds over time. Employees and their employers can be friends over time, know any hobbies and interests each other might have, and catch up outside of work. However, it is up to both parties to determine how this is established and at what pace. We call this implementing a boundary. 

Boundaries exist in all types of relationships. However, it is essential to insist on limits in an employer-employee relationship due to the complexity of these relationships. Typically, while friendships can develop, anything more is considered inappropriate.

Can I have a Good Employer-Employee Relationship with My Staff? The Employer-Employee Relationship

Yes! As said before, many companies choose to develop friendships of sorts with their employees. This might be a civil friendship, which doesn’t exist outside of the workplace, or it can be something more, where you meet up outside of work and become great friends.

However you choose to operate your business is up to you, but make sure you do it inside the realms of the law. A breach in contract or any upset seen by an employee to an employer can be deemed inappropriate or, in some instances, illegal. If you’re unsure about any of this, it’s best to contact an employment lawyer. 


The employer-employee relationship maintained outside the workplace can be complicated. But it doesn’t have to be! As long as there are boundaries in place, and the relationship comes from a place of mutual respect, this can serve the business well in the long term.