Is it illegal for a small business to record salespersons phone calls for training purposes without the customer knowing?

First - why would you want to keep that information from your clients? But different states have different rules about what is a legal recording of a phone call. You will need to check with a TX licensed attorney b/c I am only licensed in FL. It seem to me that one simple thing you could do would be to institute a business practice of informing the clients when they call in that the call may be recorded for training purposes.

These comments are made for educational purposes only and do not constitute legal advice. No attorney-client relationship exists between us. Texas is a "one party" state meaning only one party to a phone conversation must know that a recording is being made. You really would be better off disclosing the recording at the start of the call.