RadioShack lays off 403 via e-mail

[SlowwHand]

Congratulations to Radio Shanck for winning the 2006 Poor Taste Award.

10:59 PM CDT on Tuesday, August 29, 2006

By IEVA M. AUGSTUMS and MARIA HALKIAS / The Dallas Morning News


The electronic pink slip is here.

In a move that some in the corporate world may deem unacceptable, RadioShack Corp. laid off 403 employees at its Fort Worth headquarters Tuesday via e-mail.

Employees knew that the cuts were coming and that they initially would be notified electronically, but some experts questioned the procedure.

"Traditionally in Texas, people are dismissed in a face-to-face meeting," said Frank McLaughlin, chairman of McSearch Personnel Consultants in Dallas. "It's not customary, not socially acceptable to some to do it over e-mail, but it's legal."

Dr. Derrick D'Souza, professor of management and associate dean at the University of North Texas College of Business Administration, said getting the news via e-mail might be viewed negatively, "if it's not part of the company's standard operating procedure and culture."

"It's a critical event communicated through a routine method of day-to-day correspondence," he said.

On Aug. 10, RadioShack told employees that it would reduce its workforce by 400 to 450 jobs.

In a series of meetings, company officials explained the method of layoff notification would be e-mail, said RadioShack spokeswoman Kay Jackson.

The company explained the procedure and invited employees to ask questions ahead of Tuesday's notification through RadioShack's intranet site.

"We wanted to treat our employees with as much dignity and respect as possible," Ms. Jackson said.

"It's a difficult thing to do, and everyone will have a different opinion on how to do it.

"To be open and have constant communication, whether you're impacted or not, was the right thing to do," she said.

E-mails were sent out by 8:45 a.m. About 30 minutes later, employees met with their supervisors, she said. That was followed by a meeting with human resources and outplacement-service representatives.

Other companies that recently had significant staff cuts said they communicate the old-fashioned way.

Blockbuster Inc. spokesman Randy Hargrove said recent layoffs at its Dallas corporate headquarters were done face to face.

"It's our notification procedure to have a supervisor sit down with each employee," he said.

Likewise at Plano-based EDS, "the direct supervisor has a face- to-face meeting with each employee," said spokeswoman Liz Bonet.

Although RadioShack employees knew the e-mails were coming, Dr. D'Souza said, companies should be careful not to dehumanize the process and treat employees as machines in a digital society.

Mr. McLaughlin said feelings may have been hurt at RadioShack "because of the method."

RadioShack shares closed up 22 cents Tuesday at $17.92.

[Ming]

There is company I would never want to for.

All I have to say is "what a bunch of wimps"

[alva]

That's disgusting!

[SlowwHand]

This is what sums it up, to me. Their expectation level on what shows respect and dignity is sure low.

"We wanted to treat our employees with as much dignity and respect as possible," Ms. Jackson said.

[asleepathewheel]

can't say I've been to a radioshack in 10 years. they just don't have the selection of stuff that the bigger stores have.

[Ming]

Originally posted by asleepathewheel
can't say I've been to a radioshack in 10 years. they just don't have the selection of stuff that the bigger stores have.

I go there only when I have unique needs... they carry the wacko stuff that I can't find in the bigger stores. But for things I can buy elsewhere, they aren't very cost effective.

[Arrian]

Radioshack is still around? Wow.

-Arrian

[Lorizael]

Yeah. They have seven thousand stores nationwide.

[SlowwHand]

If you factor in time spent, Radio Shack can be a good thing. No lines. Less walking.
Same reason I sometimes prefer a smaller hardware store.

[rah]

Well after readying the article i'm not quite as shocked as just after I read the thread title.
They knew it was coming, discussions had been had, and the did meet face to face afterwards.

BUT having said all that, this is still pretty gutless.

It makes me think of the movie '5th Element' where Bruce Willis's character is fired through notification by snail mail to show just how heartless corporations had become.
The future is now.

[Wezil]

Originally posted by Arrian
Radioshack is still around? Wow.

-Arrian

I thought they went under years ago.

Any company that requires a full address of a customer buying batteries deserves to suffer.

[Lorizael]

Originally posted by Wezil
I thought they went under years ago.

Any company that requires a full address of a customer buying batteries deserves to suffer.

What?

[SlowwHand]

That's no different than grocery chains almost forcing store cards on you for "discounts". It tracks your purchases. Both are the same.

[Lorizael]

Certainly, but RadioShack doesn't do that.

[SlowwHand]

They ask for your phone number when you make a purchase. Same concept, just not for a perceived discount.

[Japher]

My friends and I use to use the capitol building in Sacramento as our address... stupid Radio Shack

[rah]

No worse than when I bought a universal remote for 8 bucks and they asked if I wanted to buy an extended maint agreement for 4 dollars.

[Japher]

that's a good deal!

[Wezil]

Originally posted by SlowwHand
They ask for your phone number when you make a purchase. Same concept, just not for a perceived discount.

And address. The only percieved reason would be for junk mail.

It cost them this customer years ago.

[PLATO]

Originally posted by Wezil

Any company that requires a full address of a customer buying batteries deserves to suffer.

I always tell them I am homeless, I get the funniest looks.

[Dis]

Fry's has everything radio shack has. And much more.

The only reason to go to radio shack is convenience. It's a helluva lot close than Fry's.

And isn't radio shack the one who did those TSR 80 computers? Or was that Tandy? Or were they the same thing? We actually have those computers in my 6th grade center (similar to middle school, it was our city's answer to racial integration).

[Lorizael]

Tandy acquired Radio Shack many, many years ago. But Radio Shack did exist before Tandy got them.

[DanS]

For whatever reason, it has become accepted practice to fire white collar workers face-to-face (probably having to do with logistics of companies covering themselves with regard to liability and getting the employees out the door safely).

For workers at large, this is probably a relatively new phenomenon, given the universal term "pink slip."

[rah]

Security also.
In IT we time the face to face exactly so we can be removing security access at the same time.
If we percieve a security risk (unhappy mean employee) it is not out of the ordinary that they would be escorted out in cuffs.
On one occasion the HR rep wanted to leave early so scheduled the term meeting earlier and didn't tell anybody. The employee was able to get back into the computer room and did damage. It cost quite a few man hours to restore everything so anyone that ignores the potential is just foolish. And that was just data, think of more serious nut cases.

So while it sometimes sounds mean, it's necessary.

[Wezil]

If you try 'escorting' me out in 'cuffs' you will be creating a 'security concern'.

[Lorizael]

Originally posted by SlowwHand
They ask for your phone number when you make a purchase. Same concept, just not for a perceived discount.

This hasn't been Radio Shack policy in years. They'll ask for such information on a return and on anything involving a service plan, but otherwise they're not supposed to ask for information.

[Elok]

Originally posted by rah
It makes me think of the movie '5th Element' where Bruce Willis's character is fired through notification by snail mail to show just how heartless corporations had become.
The future is now.

Damn, you beat me to it...it wasn't exactly snail mail though, the messages moved at lightning speed through little tubes. And Korben took it stoically:

Mr. Wong: See? I guarantee this good news. If not, I give you lunch!
Korben: (gestures "go ahead")
Mr. Wong: (enthusiastically opening and reading) You are fired! (continues smiling for a split second, then expression falls)
Korben: (getting up to leave) Well, at least I get a free lunch.
Mr. Wong: Ah, see good in bad! Good philosophy, I like!

I love that movie.

[Wezil]

So they finally saw the light? Too late.