Retail Leaders Show They Have a Conscience and Welcome Pay Cuts!

Recent news indicates that retail senior leadership teams are starting to take note of the changing shape of retail trade, and are reflecting that in their pay as sales fall.

Leaders of Monsoon Accessorize, Tesco and BT have all welcomed pay cuts

Head of Monsoon Accessorize Peter Simon, was happy to have his annual dividend slashed by £22 million due to his company making an £18 million loss.

Tesco’s Chief Executive Dave Lewis, welcomed a 10% pay cut last year taking home £4.15 million – down from £4.63 million the year before. He earned just 75.6% of his possible short-term bonus.

BT’s Chief Executive Gavin Patterson, also accepted a decrease of £4 million after bonuses were scrapped because of the financial irregularities in its Italian business. 

Consumers are becoming more and more confident with heads of retail

If a customer was to see a leader of a business receive a £2 million bonus, for example, while the prices of products increased, they would most likely turn to a competitor.

However, with the bosses of companies like Monsoon Accessorize, Tesco and BT putting their companies before themselves, customers can now shop with a smile on their face, safe in the knowledge that the retailer is doing their best for them.

This behaviour from the top is also great for the workforce; employees can see that their bosses are trying to make a difference for the benefit of the company.

An organisation’s workforce is its main asset. It’s the workforce that sit at the forefront of your business, who interact with customers and make things happen! The happier the workforce, the more productive they are. The more productive they are, the more satisfied customers you have. After all, research suggests happier employees are 22% more productive than unhappy employees, and this translates into an increase in customer satisfaction of 10%. What’s more – employee happiness is contagious!

Workforce Management solutions help to enhance the customer experience

At REPL, we have a variety of workforce management tools to choose from, which help boost workforce productivity and engagement, minimise payroll errors and enhance the customer experience. For more information feel free to contact us and one of our consultants will be happy to assist you.