At most places of business there is a hierarchy to the interactions between staff and employers. Depending on your position, you may be more or less formal with those of a higher rank than yourself. On the other hand, there should also always be a level of respect that is shown towards those of a lesser rank.
I personally have been in a situation where staff was treated poorly and the business itself suffered. In this case, I was a waitress at a little small town restaurant. The place was in poor repair and probably would not pass inspection should an official decide to pay a surprise visit. I always showed the utmost respect for my boss but it seemed as if she was not interested in any suggestions that I had to improve the business. I was treated as if my concerns did not matter. Unfortunately for her, many of my concerns were straight from the customers. The place was in serious need of improvement, but without her to carry out the necessary steps to improvement, it only got worse.
Several of the other employees and myself ended up quitting the job because we did not want to be associated with the restaurant. It ended for me when the teller at the local bank asked if the food was always that bad or if we were just having an off night. I no longer wanted to be associated with such a business.
The whole situation could have been avoided had my employer simply listened to our concerns. Had she done so, she may not be out of business today. The take home message is take time and listen to your employees because they may have something important to contribute to the overall success of your business.