The well spring of your attitude becomes clear now. Believing that those moments when your employees are not being dutiful little robots they are actually stealing from you is as gob-smacking as TS's apparent unfamiliarity with women's clothing and the truth that most of their apparel does not contain cargo pouches. You'd think he'd never seen a woman with a skirt or a dress or a handbag, let alone have a clue as to the sort of items they carry in them.
I am picturing your business as being a Victorian era cotton mill or perhaps a clothing factory in Bangladesh that is still quietly smouldering.
Really, so apparently you have never managed anything. I don't pay people to stand around talking to their friends, sorry if you think that is what you are ethically required to allow. I do pay people to work. OH MY! Yes, I pay people to work, not to stand around socializing. That is why it's called WORK and not PARTY.
People like you are the reason why America has lost its quality workforce. Well, you and the unions, but I guess you both share the same work ethic.