Retail to cut jobs

Oct 06

Almost a year back, retail was most attractive sector and seeing the opportunity in the sector retailers were hiring in bulk. This hiring spree was nothing but an effect of their expansion spree. But now they are feeling to get rid of their extra flab. With slowdown in entire economy, everyone is looking for the way to cut cost. And as we know that biggest cost centre for any company is their employees, they are reducing it to counter slowdown. Apart from this companies are making internal transfers among group companies to meet requirements rather than hiring.

Future Group has begun shuffling people among group companies. Around 200 people from Pantaloon Retail have been moved to other group companies. “We have moved 80 people from Pantaloon Retail to Future Learning and Development, which gives training for front-end staff,” said Sanjay Jog, head, human resources, Future Group. “Similarly, 65 people have been moved from Pantaloon Retail to Future Knowledge services while 35 people have been moved from Pantaloon Retail to Future Logistics.”

But strangely companies are also experiencing high attrition. If retailers are not hiring then where is this crowd moving? Are they changing sector? Or is it panic of slowdown?

- Rajeev Damani