Freezee
2008-04-03 12:32:41
What is the is the benefit of low wages, when the labor doesn’t produce results? The math is simple: Let’s assume that the retailer budgets labor at 10% of sales. (I don’t know what WalMart’s target is, but that’s probably close.) A blown-out frozen department makes no sales, but a full one would turn $10k or more daily. Those sales would add $1000 to the payroll budget, for each and every day of well-stocked operation.
Perennially empty shelves are indefensible. They benefit no one. Something is wrong when an American store has persistently bare shelves like those old Soviet state-run markets. But that’s coming from people like me, who don’t know what they’re talking about.
