Circuit City fires 3400 overpaid employees

Maddogg6 · Apr 4, 2007, 12:09 PM

Quote:

I feel that unions and corporations need to form a partnership to ensure that the jobs are still there in the future.

But, often they don't - so they are more hindrance than anything else.

'We can wish in one hand and shit in the other...' or how ever that saying goes....

Its not rare for 'Ideal' and 'Reality' to conflict.

Dowaco · Apr 4, 2007, 03:23 PM

http://news.yahoo.com/s/nm/20070404/...ectronics_dc_2

Maddogg6 · Apr 4, 2007, 04:08 PM

Quote:

Originally Posted by Dowaco

http://news.yahoo.com/s/nm/20070404/...ectronics_dc_2

I seen this too - and its really only stating the obvious....

Yousaif · Apr 4, 2007, 06:01 PM

Quote:

Originally Posted by Maddogg6

But, often they don't - so they are more hindrance than anything else.

'We can wish in one hand and shit in the other...' or how ever that saying goes....

Its not rare for 'Ideal' and 'Reality' to conflict.

Oh don't I know it.

The saying goes: "Wish in one hand, shit in the other. See which one fills up first."

I know that I speak of a utopian dream when I talk about partnership forming. I know that with the current mindset of union leaders that something like this would never happen, but that doesn't mean that it isn't what needs to happen.

I am happy for those of you that are represented well by your union. Conversely I worry about the future of the company that employs you.

I just hope that people come to their senses before the companies fold.

Maddogg6 · Apr 4, 2007, 09:22 PM

Quote:

Originally Posted by Yousaif

The saying goes: "Wish in one hand, shit in the other. See which one fills up first.

lol - yeah - thats the saying...

Eeastcoasthandle · Dec 21, 2007, 07:29 PM

Quote:

Circuit City posted a steep quarterly loss on Friday and warned the operating losses will continue into the current quarter, which includes the bulk of the holiday shopping season, traditionally when retailers make most of their money.

"We are very dissatisfied with our third quarter results," Circuit City CEO Philip J. Schoonover said in a statement, adding that the company saw fewer sales of profitable items like accessories, services, and extended warranties.

"We believe that these issues are primarily self-induced and are within our control to improve," he said.

I can't say I was surprised given my Black Friday experience at Circuit City. My partner and I waited for hours in line, not because there were so many customers, but because its system for handling a crowd was so poor.

In addition to the $208 million loss from continuing operations that Circuit City posted for the quarter ending November 30, it said it will have a "modest" loss for the current quarter, which spans through February.

source

Well, well, well I wonder why that's a problem? lol!

**kris23** · Dec 21, 2007, 10:17 PM

they lost their best employees, thats the problem.....

Sandok · Dec 22, 2007, 05:52 AM

This is how the economy works... What you want to do? Everything happens for a reason (speaking economically, not destiny wise)

Eeastcoasthandle · Dec 23, 2007, 08:14 AM

Here is another interesting tidbit

Quote:

jamie tipped us to Dean Baker's Beat the Press blog, where Baker comments on a followup to Circuit City's firing of all its highest-paid salespeople last March (Slashdot discussion here). Circuit City's stock has cratered in the meanwhile, and their response has been to offer $1 million retention bonuses to executive VPs. Baker points out that each one of these bonuses represents 35 years' salary for one of the fired salespeople.

Source

Quote:

...One of the reasons that people go to a store like Circuit City, rather than buying things on the Internet, is that they want to be able to talk to a knowledgeable salesperson. Since Circuit City had laid off their knowledgeable salespeople, there was little reason to shop there.

Apparently Circuit City came to this same conclusion earlier this fall and tried to hire back some of the people it had dumped. In any case, things have not gone well for the bottom line. The company is now losing money and its share price is down more than 75 percent from its value earlier this year...

followup to Circuit City's firing

cozumel · Dec 23, 2007, 10:15 AM

I don't agree with capitalism an an ideology as I more of a socialist. I live in a capitalist society and am a realist. Therefore, although I have not read Circuit City's Business Plan, strategy, vision or mission statement I agree in principal with their actions. If a company is losing money or there is a likelihood that they will lose then there is a need for restructuring and a rationalisation within the organization. If the best alternative is to either cut salaries, make large number of people then redundant or potential liquidation in the future then the best option is to cut salaries and/or let employees go. Goes against everything I believe but it is necessary in a capitalist society.

Eeastcoasthandle · Today, 06:35 AM

When I first posted about this issue CC was at around $18.60 per share. Today their share value has dropped to a whopping 0.37 cents. That's a drop of $18.23.
source

How many still agree/will practice with what CC did (found in the OP)?

Eeastcoasthandle · Today, 06:42 AM

Quote:

Originally Posted by DudeBoyz

It makes SENSE from an Evil Publicly Traded Corporation standpoint, but I think it STINKS!

I'm stuned they are being so blatent about it - like they don't even care what the public thinks.

I honestly believe what they are doing is WRONG morally and perhaps ethically.

But I also think it is a STUPID thing to do given that they are launching that FIRE DOG program. Why would anybody want to invest a dime in that service when you know flat out that they canned their most experienced and capable people because they didn't want to actually pay them what they deserved to get paid?

With publicly traded companies, is it all about the shareholder and no longer about the customers?

I don't see myself ever shopping at Circuit City again after hearing this. I mean, I understand business is business, but this just seems way too over the line. How are you supposed to raise a family when companies like this are canning good people to keep wages down?

I'm not much of a Union person, but with cases like this, I can see why people have supported Unions in the past and why some are calling for more workers to Unionize.

Interesting observation from last year.