Wednesday, July 27, 2011
Best Buy Employees to see their discount drastically change. (Shake their heads in disbelief)
Well, the time has come for Best Buy employees to give up part of their employee discount come Aug 1st. Come Aug 1st, Best Buy will cap the discount to 50% max off the normal retail price for all products & services. We're told that Best Buy calls this some kind of workforce optimization plan. They state it's to re-engineer their business model to fuel the company's growth. Huh????? Employees call it GREED, or at least that's what the majority of employees think.
There is outrage like crazy about the discount from employees. Employees claim that the only ones to get it seem to be the corporate people who are making the big bucks & who aren't that affected by it.
Here is our thought, as well as thoughts from employees from the company.
1. Why would you take something away from employees that has been something that is a benefit for working there? Everyone knows they get a discount working there, & it is no big surprise. This would be like taking food discounts away from people who work at restaurants, or free drinks from people who work at gas stations, or a host of other benefits companies give employees for working there.
2. Let's take a look at this whole change for a moment. What happens when you take a great benefit that is discount related away from an employee who can go elsewhere & get that same type of product for CHEAPER? Guess what? They will go to competitors to buy the product.
Employees tell us that they don't care if they work for Best Buy or not. If they can get a similar product on Amazon, Newegg, or any other retailer for cheaper, they will. Now why in the heck would Bet Buy want their employees to go elsewhere to spend their money? We guess they never thought about this. If they did, they didn't look it that closely.
3. Why doesn't the company look at other operating areas to cut money? Oh wait, because they are too lazy to do so. Did anyone read our post on the price labels & the waste Best Buy contributes? Here is our suggestion. Re-structure the way you do pricing & do the environment a favor & your wallets a favor at the same time. It seems it's much easier for Best Buy to change a page in the employee handbook & SOP as well as computer coding for the discount then to actually look at the way they operate & save money that way instead of taking a benefit away from the employees. Oh well, what do we know. Oh yeah, we know their warehouses are full of hundreds of labels in the trash they can't re-use because their sign system is terrible in the way it handles printing. Print one label & throw the other 7 away. Genius! &
The sad thing in all of this employee discount thing is, is that the company STILL made 5% off of its employees before the change. Employees never did get products & services at cost. They always paid 5% above cost.
Now, Best Buy is going to say that roughly 94% of the SKU's including 89 out of the top 100 items purchased by employees will not be impacted. This is a bunch of garbage. We'll give you a list of items people have purchased at over 50% off. We can tell Best Buy is trying to calm the employees by stating this to them, & it's not working at all.
So what about comments from employees? Here is what they all have to say. While we aren't going to post 1,000 comments, we will give you an idea of how they feel about their company doing this to them,
"Why would I keep buying from here when I can go to Amazon or Newegg & get a similar item cheaper? Are you saying you don't want my money & that you want me to spend it at a competitor?"
"It seems to me you are doing this all out of greed, but because we won't spend that money here, you won't be making anymore money because I will be taking my money elsewhere."
"I am a part timer & a mother, & the discount is something that has helped me tremendously. I don't have the money to pay for some of these items I needed for my TV, but with the discount, I was able to get the TV & accessories." So now you are taking that benefit away from me & forcing me to shop online because funds are tight & I just can't pay what you want me to pay."
"It doesn't matter to the CEO or any of the corporate people making hundreds of thousands of dollars or even millions because they make so much. The impact on them is small. I however am a college student, & the discount helps me purchase things I actually need. I guess you don't care about the employees who make the company run for you anymore do you?"
"Are you trying to upset your employees because you're doing a great job of it just so you can get more money. Oh wait, my money won't be going to you, it'll be going to Amazon now. I can't believe i'll be buying from our competitors, but you drove me to do that, & no one else. Way to go Best Buy."
"Why don't you look at other areas of operation to save money instead of cutting the discount. How about wasting money on pricing labels. Why not cut down on the waste which will cut down on cost? Oh wait, you'd rather not do the hard work & just cut our discount."
"Oh look, a $.79 cent Cat5 cable online & with shipping it's cheaper than i'll get here. Oh well, looks like i'll be buying from this company."
Anyway, there you have it. Best Buy has gone & upset the very same people who keep them going & now, these people will be taking their business elsewhere all because of this workforce nonsense they came up with. We think it's some fancy name they made instead of using the word GREED.
So if you happen to go to Best Buy & notice many accessories are gone, employees have been stocking up for when they lose their once loved benefit. After that, they will be increasing revenue for their competitors because you can bet your wallet that they will NOT be purchasing anything from the company anymore that they once got at 50% off or more. Many employees know what these items are & will be putting money in those retailers pockets that carry these items because they are cheaper & because they just can't afford to pay what Best Buy wants them to.
Our last word to Best Buy if they are listening....Your employees keep you in business & it's sad you are taking a benefit away from them. Some may work there just because, & some may be working there because they need a second job, love electronics & the discount will benefit them. Whatever the case me be, we don't think you looked at the whole picture. We think you looked more at your wallets as a company, took the easy way out & didn't look at other ways to do this so called workforce optimization plan or whatever you want to call it.
It would be a really sad thing if employees just quit buying product from Best Buy altogether & got everything online, but some may. We know they won't be buying the items they once bought for 50% off or more from Best Buy anymore.
Best Buy, you should be ashamed of yourselves & keep the discount the way it was for your hard working employees. You've taken something away that made them happy to work there & something they could look forward to when making a purchase. They actually probably put more money in your pockets because of this than they will now. You screwed up BIG TIME & you better think twice before you make it final. If you do make it final, you better look at other ways to save money as well as this is a cheap way out in our minds. In fact we don't think you'll benefit in any way, shape or form from doing this. In fact we think it will hurt you.