Thanks for the Bday wishes.
My wife did contact the owner yesterday and had a polite conversation with her. This is a very well known bakery in town and my wife and the owner know of each other indirectly. The owner was embarrassed and appologetic and said she would address this with the employee. Of course I told my wife how proud I am of her, especially for following up with the owner, which is where the long-term difference is made. I think her dealings with the employee were appropriate and level headed.