Phones 4U has reduced the amount of commission store staff receive from connections as of October 1.
Commission is dependent on which ‘band’ a deal is classed as. An ‘ultra band’ deal, the highest category typically for contracts of £40 and above, provided the sales person with £7 commission.
Now, the staffer will receive £6. A ‘band D’ deal, for example, the Nokia N97 on a £30 contract, will now only be worth £1 in commission, cut from £2.
Commission for insurance packages has also been reduced from £5 to £4. However, for the first time, staff will receive £3 commission for accessories priced over £39.99.
Phones 4U said the changes in commission are due to anticipated Q4 sales growth.
One Phones 4U staffer said: “It’s demotivating and insulting. £1 commission for a high-end handset is not good enough.”
A Phones 4U spokesperson said: “We’re expecting a natural uplift in sales volumes for Q4.
“We have made some small changes to commissions to reflect this, however the structure of our commission scheme remains the same. Only mobile and insurance rates will be affected – there will be no change to mobile broadband or media commissions – and we are offering enhanced commissions on accessories.”