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Blog: The Business of Management
 

June 5th, 2007

Running With the ‘Knuckleheads’

One of the curious things about writing a blog is that sometimes, you get delayed reaction and feedback from something you’ve written. So it is with Circuit City.

I wrote two blog items, “More Gibberish from Circuit City” and “Age Bias Suit at Circuit City” that centered on the decision by the electronics retailer to fire about 3,400 workers because they were getting paid “well above the market-based salary range for their role.” From my perspective, it seemed stupid and shortsighted to get rid of your best and most experienced workers in a cost-reduction frenzy. For all of Circuit City’s many troubles, this rash and ill-advised management decision appears to be adding to the company’s troubles.

Readers of this blog had some interesting things to say about that. Here are a few of their comments:

From Christopher (no city listed):
“Had to comment on your postings re Circuit City. Not only did my HRCI prep class use this as a real-time case study, but I personally e-mailed and called CC’s corporate office in an attempt to see if we could access any of their IT professionals for my company. Guess what? Never heard back from them. Guess where I haven’t shopped since?”

From RMack in Florida (who titled his e-mail “Circuit City being run by knuckleheads”):
“It’s amazing that upper management [at Circuit City] does not see [what they are doing]. When I try to buy a DVD ($12) I’ve got 2-3 people looking to help me. When I went to buy a new TV ($1,000) I couldn’t get anyone to help me. I ended up complaining twice and walked out 30 minutes later. After I calmed down, I called back the manager, and let him know I was going to Best Buy. He knocked another $200 off of a TV already on sale. It saved me about $550. Point is … I should not have to get crazy just to buy a TV from a kid.”

From Michael (no location given):
“The articles you provided about Circuit City, RadioShack and Merrill Lynch are more great examples of employees being treated as “No Heads.”  I’m no longer surprised by such management stupidity, but I still wince at such counterproductive, shortsighted and unnecessary practices.”

From Paulette (no location given):
“I want to add my 2 cents to why Circuit City has a loss in sales. I, for one, am boycotting them. I will not do business with an organization that treats their best employees in this manner. I have spoken to many people who are also taking their business elsewhere because of this layoff. I would not want to be treated in this manner, and I feel like there is a total lack of integrity in any company who does treat their employees this way.” 


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