So Circuit City fired 3,400 employees recently. It's being talked about a great deal around Wordpress.com today. Gotta love this one post where we're reminded how Circuit City says that their employees are the best part of it. Had a chuckle over that.
I don't think much of Wal-Mart but at least they just capped their employee's salaries and told them to go after promotions.
And it's not the first time the Circuit City has done this either or screwed over their victims, um clients I mean.
edit: It would have been a major PR advantage if a company like BestBuy stepped in and hired them all.
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Honey, I got fired today because I make too much
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Interestingly, none of the executives who got fired for having too high a salary have yet complained to the press. They must simply be reapplying for their old jobs at a lower salary. Right?
We all know that company executives set the salary and wage levels for their employees. Aside from the company's claim, what factual evidence is there that these employees were "overpaid"? And, if such evidence does exist, then shouldn't the executives who allegedly set the wages too high for the employees bee given the boot or at least have their own salaries docked for their error in judgment?
IMO LeisureGuy has it right, they expect them all to re-apply for their old jobs at a lower rate.
This is just another example of corporate greed that makes me gag. The U.S. has record numbers living in severe poverty while corporations are making record profits and military budgets are soaring. In fact I blogged about this here http://timethief.wordpress.com/2007/02/24/us-has-record-numbers-in-severe-poverty-while-military-budgets-soar/
I agree with your Best Buy statement Dr. Mike! It would have been the classic "Americans first" moment, you know, one that we haven't seen for a long time in the corporate world. :-)
Great Idea for BB to step in - and I can't believe that the exec team could EVER think it was a good idea to announce that they were firing 3,400 associates because they were overpaid.
Whether that is the reason of not - you don't announce it! How incompetent are you if you have 3,400 overpaid people on the payroll????
Tom O'Brien
www.tomob.wordpress.com
Sadly, the actions taken by Circuit City represent management thinking at its most typical. This column describes how large corporations used all their influence to block a modest increase in worker's rights in China, and this post shows quite clearly how management funnels money from workers' salaries into its own.