Phones 4U has axed more jobs as part of an going restructure of its business, reducing its number of regional divisions from five to three and cutting its compliance and audit functions by as much as half.
A Phones 4U spokeswoman said: “In order to ensure we are structured efficiently and to support the delivery of our strategy moving forwards, we have carried out an in-depth review of our divisional structure.
“This is to ensure we are able to fully support our stores and deliver our vision; of being a great place for our customers and for great people to work, give greater autonomy to the field and store management population and improve our communication and engagement when out in the field.”
Staff said last week the number of area managers had dropped considerably, and predicted more cuts to come as the area manager role is scrapped entirely and replaced with new ‘regional directors’.
Staff claimed cuts to head office compliance and audit functions had seen around 25 redundancies, reducing headcount in the departments from 50 to nearer 25 to 30.
The units are in charge of back-office customer and stock checks. Phones 4U confirmed in August that 60 compliance and audit redundancy roles were identified to be at risk.*
A Phones 4u spokesperson said: “There has clearly been a reduction in headcount within our compliance and audit function. The centralisation of the function will result in a far more focused approach being taken.”
However one staffer said: “Phones 4U is trying to be more profitable.
“Compliance and audit staff have been let go as they’re no longer important to the business, because the focus has changed to be even more sales driven.
“Our store used to be audited once a month, but we’ve been told this will only happen once a year now.”
Phones 4U announced in August 180 staff would lose their jobs as a result of outsourcing its IT department to Indian firm Tata Consultancy Services (TCS). Remaining Phones 4U IT staff took roles under the same employment terms at TCS.
Stores have already started to be divided up into their new regions, with certain existing southern regions picking up several more sites.
*Sixty redundancies were not made in these departments, as stated on page one of the current edition of Mobile News.