RadioShack Uses E-Mail To Fire Employees

This article is from the archive of The New York Sun before the launch of its new website in 2022. The Sun has neither altered nor updated such articles but will seek to correct any errors, mis-categorizations or other problems introduced during transfer.

The New York Sun

RadioShack Corp. notified about 400 workers by e-mail that they were being dismissed immediately as part of planned job cuts.

Employees at the Fort Worth headquarters got messages Tuesday morning saying: “The work force reduction notification is currently in progress. Unfortunately, your position is one that has been eliminated.”

Company officials had told employees in a series of meetings that layoff notices would be delivered electronically, spokeswoman Kay Jackson said. She said employees were invited to ask questions before Tuesday’s notification on a company intranet site.

Derrick D’Souza, a management professor at the University of North Texas, said he had never heard of such a large number of terminated employees being notified electronically. He said it could be seen as dehumanizing to employees.

“If I put myself in their shoes, I’d say, ‘Didn’t they have a few minutes to tell me?'” D’Souza said.

Laid-off workers got one to three weeks pay for each year of service, up to 16 weeks for hourly employees and 36 weeks for those with base pay of at least $90,000, the company said.

The company announced August 10 that it would cut 400 to 450 jobs, mostly at headquarters, to cut expenses and “improve its long-term competitive position in the marketplace.” RadioShack has closed nearly 500 stores, consolidated distribution centers and liquidated slow-moving merchandise in an effort to shake out of a sales slump.

Shares of RadioShack rose 21 cents, or 1.2%, to $18.13 in midday trading on the New York Stock Exchange.


The New York Sun

© 2024 The New York Sun Company, LLC. All rights reserved.

Use of this site constitutes acceptance of our Terms of Use and Privacy Policy. The material on this site is protected by copyright law and may not be reproduced, distributed, transmitted, cached or otherwise used.

The New York Sun

Sign in or  create a free account

By continuing you agree to our Privacy Policy and Terms of Use