I had a similar situation back in my old job- the manager was such a bastard to me and the other guy who worked there, he literally made our lives hell, he was rude, obnoxious, never looked at us or used our names (he called us "you" :p), when he got drunk he swore at us...
and at the same time he was a really great father and friend to all the customers, I never ever heard this much praise said about anyone, not even Mother Theresa or whatnot. he was like a local hero, everyone loved him.
later I asked some of the customers (they all liked me, well most of them) why he was so massively two faced and they told me that he was racist and hated us, white scum from Eastern Europe (he was an Irishman himself)
it was pretty weird, and when I told him I wanted to be treated with respect he fired me. that was the best thing that could've happened to me at the time, I was at the end of my nerves with him and I only managed to work there 1 month...
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not a bug - a feature.