Ultimately you have to do what's best for your business. You have to be direct and explain the situation to her as well as your options. She's been with you for a long time so you obviously want to give her the chance to fix the problem. If after this she doesn't change then unfortunately you have to let her go. It's great that as an employer you want to be loyal to her but business is business and she has to be able to contribute to the overall success of your company. Good luck and I hope you're able to solve the situation the best way possible.
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