8/13/2009 1:06:00 PM
Carphone Warehouse cuts retail hours by 9,000 per week
Carphone Warehouse management have been told they must cut 9,000 retail hours per week over the entire store estate to meet a new allocation on budgeted hours.
The retailer has drastically cut its full time earner budget this quarter (FTE budget), a fund that allocates the amount of retail hours across the whole estate.
The cuts will also affect part time contracted staff, as the retailer must drop the equivalent of 200 full time staff contracts to meet the new budget. Full time hours equal 45 per week, which means managers must collectively cut approximately 9,000 hours across the whole estate.
Other high street retailers are making similar changes as they look to adjust costs with the downturn in consumer spending.
Carphone store managers were informed in conference calls this week. In addition, an email informed management that all staff must only work the hours they are contracted for, and overtime must be authorised by the regional general manager.
The FTE budget is reviewed every quarter, resulting in hours being regularly re-allocated across the retail estate, but the latest news signifies a stark drop in hours.
In the spring of 2009, Carphone put a freeze on the employment of any extra part time staff.
In addition, it is understood that some full time staff had been asked to voluntarily reduce their hours from 45 to 37.5 per week.
Carphone cut 500 administrative and call centre jobs earlier this year, but was adamant that front line sales staff would not be affected by cost-cutting.
Carphone declined to comment.