Lower wages than retail! How is that possible?

UrbanBlog http://urbaninsuranceagency.com/blog.php

My personal experiences with Circuit City has left me with the impression that few of the employees there have more than just a superficial level of knowledge about the electronics the store sells. The idea that circuit city is going to eliminate the only employees that “Have a clue,” strikes me as a self-defeating proposition.
In this age of HD, where today’s cutting-edge technology will be hopelessly obsolete in 2 years, consumers are looking for information. They want companies that can solve problems


I buy all of my Home Audio and HD equipment for a small independent guy. He does not stock much, but he will order what ever you want and at a price at times lower than Circuit City or Best Buy. The important thing is he knows how to take the equipment apart and put it back together. When I came into buy a new DVD player, he remembered which HD TV I had in which room hooked up to which receiver; so he gave me the correct inter connects.

More and more, Circuit City is becoming a display case for small shops to send customers to look and compare, then come back to them to buy. The reason for that is because many consumers just have little confidence in the information or advice they get at these “Big-Box Stores.” Therefore they can only sell on price and the margins are too small to be profitable.

I understand why they feel compelled to cut costs, but by getting rid of their most skilled employees and replacing them with minimum wage clerks is just going to guarantee the company’s downward slide. There is a reason new car dealers don’t replace their sales people with $7.00/ hour people.
Circuit City’s days are numbered.
http://www.urbaninsuranceagency.com/blog2.php/
Larry Lubell
UrbanBlog

That's why we need a "maximum wage" A constitutional minimum wage based on the company's management's pay. Now when someone figures out how to outsource top management...

topgon

I was one of the people laid off and I can guarantee that the service will decline by leaps and bounds. The seven of us that were laid off at the CC I worked at, ran the store. All of us had been there 5+ years. Circuit City states they gave us severance- 4-8 weeks pay doesn't go very far. One of the guys that was laid off had been with CC for 20+ years and was number one in the company in selling warranty. They laid off the best people!!! It just doesn't make sense. It is crazy that they think a 5 or 10 year employee could be replaced with an untrained $8 hour employee. Good Luck with that CC. I'll be at Best Buy....with all of my former Circuit City customers!

I worked at CC when it was commision based, and made a decent buck, but I was unhappy and went back to school to get my degree. Soon afterwards they went to hourly pay and fired those people who were top earners in the commision system. CC figured the people would quit anyway because the wages were less than good sales people earned on commision. The leftover people were not sales people they were register clerks, I can't wait to see how much worse it gets. I remember hearing CC management saying things like "since the internet most customers do their own research and already know what they want when they get to the store." -WRONG, people research but definately appreciate when someone can seperate the BS (marketing) from things that actually make a difference. A good sales person can get you the best bang for your buck. Guess I need to start shopping at BB

While we're at it, let's downsize the FAA and, as Reagan once proposed, dismantle the Weather Service. I've seen C.C. people do things for customers, even including a free install of a TV for a disabled friend, that Best Buy wouldn't dream of. That's thoroughly in the past now.

I worked for circuit city back in the commision days and when they laid a bunch of ppl off i was one of them, i was rehired and i was getting paid $15.00 hr i was ranked 2nd in the district in services and volume wise averiging over 10% a day in servicses and i got hit again with a slap for doing good. I encourage PPl not to apply for a job at circuit city cause there is no growth in that company, just imagine when you evaluation comes up and you are due for a raise should we be Happy or should we be scared, I belive circuit city is going to shut down its entire stores, and i hope it happens. they do not desrve for customers to buy at circuit city for the reason been that they care about themselfs and not about 3,400 emplyees. This Store has created major issues for familys that they just bought a house,or maybe they are having a baby, this ppl broke hearts and familys,its depreesing that you are loyal to a store and then you get a slap, DONT SHOP AT CIRCUIT DONT SHOP AT CIRCUIT CITY>>>SPREAD the Word

I definitely will no longer shop at Circuit City, not that I did much in the past. Their prices are much higher than Best Buy. The only incentive was employees who knew something about the products I wished to purchase. Unfortunately this isn't just a retail issue. Service workers across the board are feeling the pain of outsourcing to foreign countries or to companies who specialize in "customer service" for a company or product they know nothing about. In my last job, which I quit in November due to moral and ethical objections to their practices and ethics, the only thing that kept the occupational associates relatively "safe" was the presence of a union. However, my state recently passed the "right to work" measure which will effectively kill the union in less than five years. Who will speak for the occupationals then? In an ironic twist, both our CEO and CFO stepped down last year supposedly in a "voluntary" retirement, in the face of declining profits and stock prices. At least one was under investigation for illegal business practices. Both were given separation settlements in the hundreds of millions of dollars. When I took early retirement my separation settlement didn't even reach six figures. Go America!

This is happening everywhere. There is no one protecting the workers from the greed of the CEOs. So much for trickle down economics. And it's going to get a lot worse. I believe it may be time to start bringing Labor Unions back.

I have been a cc customer for many years. I have bought 2 computer, a printer. a monitor, 2 tvs. They will be the loser in the long rub.

Well- I cancelled my circuit city credit card yesterday and sent it back in pieces to the President. Unions - wake up -- something has to happen soon -- because it will be happening to everyone -- except the empty suits that run companies and make the big bucks. PS -- I'm not in Union (but I know without them, my pension would have been zero) -never have been -- and have never worked in retail -- but I can definitely see where all this is and has been going.

The Bold... The Proud... One Of Those 3400.. Its Sad. I Worked At The Plano Texas Store, The First Thing That Came To Mind In That Office When They Sat Me Down Was Instead Of My Employment Ending, Was My Customers. I Cried. And Thought WHAT ABOUT MY CUSTOMERS! Because Thats The Type Of Training And Service We Gave Everyone That Came In That Door. For Each Of The 3400 Employees Laid Off, Thats Not Only 3400 Employees not Shopping There Anymore, Tack On An Estimated 30 Customers Each To Those That Made Dedicated Customers. Thats How We Kept Most Our Buisness, With Frequent Shoppers. I Dont Know, I Love Circuit With All My Heart And My Managers Were Devistated, But Let Me Talk To Whoever Came Up With This Idea, Cause That Was 100 Percent A BAD BUISNESS MOVE. Theres Nothing Else I Can Say. The Other Employees Gathered All The Pictures Of The Layoff-ees And Posted Them In Various Places To Remember Us By. Team Moral Is No Longer.. I Guess If The Other Associates Dont Cheer Up They Could Let Them Go As Well.. Every Customer Comming In For Me Is Told The Truth.. I Wonder What They Will Do When They Find Out CC Laid Off Their Best People. That Ridiculous. My Customers Were My Life. Im Very Social And Made Alot Of Customers Happy. Im Sorry That CC Wont Let Me Anymore... I Wish More CC Employees Would Speak Up.

The CEO of the company, of course, received a salary of $716,346, along with a $704,700 bonus last year. He also has long-term compensation of $3 million in stock awards and $340,000 in underlying options. I do not see in the article where he took a hit in any way in order to help “the bottom line.” Last month, the retailer shut down distribution centers in Columbus, Ohio, and Louisville, and closed 55 international stores; it plans to shut down seven more in the United States. So if the company is doing so poorly, why did CEO Philip J. Schoonover get a bonus? I thought bonuses were for the people who did well…

Thus, the store workers get fired even though it has nothing to do with performance, but Philip J. Schoonover gets a bonus even though the company he manages is doing shitty?

I was one of those 3,400 people laid off. I worked for CC for 11 years and was taken out like the trash. I have never experienced anything so cold and heartless. There were 6 of us at the southern California location we worked at. All of us had been there 10+ years. CC is going down they would rather let customer service suffer then keep loyal valuable employees in their stores. DONT SHOP CIRCUIT CITY DO NOT SUPPORT A COMPANY WHO LAYS OFF EMPLOYEES WHO HAVE CONTRIBUTED YEARS OF SERVICE SO THEIR CUSTOMERS CAN SUFFER AS WELL.

Hello,

I also am one of the many people laid off by Circuit City. I worked there for over 16 years and worked as a Customer Service Lead. As if the layoff wasn't bad enough, they also chose to let us go on the March 28th knowing full well that our insurance and benefits would end at midnight March 31st. That is the worst part of this whole thing. The associates who were the most loyal and knowledgeable lose their jobs while people who don't care still have theirs. They didn't even care enough to give us some warning. I am getting 8 weeks of severence for 16 years of service. I was an extremely loyal associate for that company, but now we all know what matters......MONEY!!!!!

I was one of the 3400+ let go on Wednesday. I find it soo funny that the feel this will be a positive thing for their company. Just last night I had a customer call my cell phone to tell me he was ready to get a 42" plasma. he was happy to report he purchased it at Best Buy.

Please do not give you money to this company. Best Buy almost always has lower prices. All we ever had was the people. WE ALL GONE! PLEASE DO NOT SHOP AT CIRCUIT CITY, and alert your friends when you hear of them shopping!

Dear Sirs,

I read recently your announcment of layoffs with the option for terminated employees to re-apply for their 'old' jobs at lower pay or for new hires to apply for the 'old' jobs at lower pay.

As a customer, I must inform you of my disappointment with Circuit City managment and its policies and as a customer I will inform you that I will not purchase another product from the Circuit City company in the future.

My past recent purchases have included, but are not limited to Large Screen HD TV, Panasonic hard drive/DVD recorder, Garmin GPS, MP3 players, Hitachi DVD camcorder, computer memory / hard drives / products, etc. etc.

As a consumer who is also employed by corporate America, the fact that you feel compelled to enact this horrendous policy upon your workers demonstrates just how out of touch you are with not only your employees, but also the consumers who purchase your products.

Possibly you should readdress your obscene salaries, option grants, benefits, bonuses, etc if you are looking for places to make significant cuts in your operating costs in an effort to boost profits for your shareholders.

Former Customer
Scott Uhrmann

Got a question..any of you drive a Chevy or a Ford..
a Dodge? If you do shame on you for supporting a company that has sold out and moved plants to Mexico and Canada to deliver profits and taken away American jobs. Eat any imported beef ect...bottom line, good people get caught up in business decisions, right or wrong, it's the way it is. Don't hear anyone who won't shop at CC talking about how BBuy cut middle management jobs last year and continues to look at restructuring their model. By the way Mr. Schoonover is a former Bbuy executive. There's always 2 sides.

The manner, in which Circuit City fired 3,000 employees was an absolute insult. Since my family, friends, associates and I work for a living, we all agree; future purchases of electronic entertainment equipment will be from Best Buy.

I WAS ONE OF THE 3,400 EMPLOYEE'S THAT WAS LAID OFF
I AM FROM THE COLORADO REGION. I AM PISSED OFF AND FELT I JUST GOT STABBED IN THE BACK. I GAVE CC 10YRS OF TRUE LOYALTY AND WE ALL GOT PUNISHED FOR GETTING GOOD REVIEWS WHICH LED TO RAISES AND BEING DAMN GOOD AT OUR JOB. ALL I KNOW IS THAT SOMEONE JUST GOT THEIR BONUSES AND THE INVESTORS JUST GOT RICHER FROM US BEING LAID OFF. SO TO ALL 3400 EMPLOYEE'S KEEP YOUR HEAD UP GOD IS LOOKING AFTER US. BECAUSE I THINK WE WERE THE FIRST LAYER OF THE CAKE AND THEIR WILL BE MORE TO COME FOR CC TO DAMAGE MORE LIVES!!!!!!!