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Radio Shack Compensation Problem Essay

RadioShack is one of the largest electronic chain stores across America. They employ up to 34,000 employees and according to their corporate website (www.radidoschack.com) they offer the “Complete Package : Incredible work environment, highly qualified employees and competitive compensation , including upon hire: paid time off , merchandise and wireless discounts, credit union, career progression , continued learning and development , educational discounts ,401(k) Plan. Medical, Dental and Vision Plans Flexible Spending Accounts, Life/AD&D Insurance, Short and Long Term Disability. This all sounds great, they offer things we all look for in an employer ; a competitive compensation and perks. So how does this huge corporation become rated number 3 top worst places to work for? The Problem

According to 24/7 Wall St, they examined employee reviews at online job site Glassdoor.com. To make the cut of worst company, companies need to have a minimum of 300 reviews. Based on these ratings, 24/7 Wall St. identified RadioShack as the number 3 worst company to work for. Any company receiving a score of 2.7 or lower, ranks them in the bottom 10% of the 202 companies they measured.

RadioShack rating was 2.4 and has 560 reviews. Reviewers were consistently unhappy about the retailer’s sales commission structure and the long hours. The reviews also indicated that the company limits commissions to certain products, instead of paying based on sales. “Over the years compensation has turned into a big joke. You MUST perform in all metrics (service plans, batteries, cell phones, etc) to get any sort of bonus as an associate.” stated a former RadioShack employee. (www.glassdoor.com) Conclusion

These remarks paint a completely different picture than what is listed on the corporate career web page. In my paper, my focus will be on the challenging monetary compensation of the company and to offer strategies on how to improve this problem.


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