Retailers are boosting their efforts to reduce turnover of store managers by cutting hours, increasing bonuses and providing extra compensation time.
According to a survey conducted by Career Management, an executive recruitment company, 80 percent of retailers said managers average less than 50 work hours a week. This compares with 55 to 60 hours a week in previous years.
The majority of store managers, 54 percent, put in 45 to 50 hours per week, 27 percent worked up to 44 hours, and 17 percent averaged 51 to 59 hours. Only 2 percent worked 60 hours or more.
The survey also found that store managers at 92 percent of the companies polled were eligible for performance bonuses. These bonuses were awarded on top of salaries, which for the most part averaged under $60,000.
"Although our experience has shown that base salaries for store managers have been on the rise, one could still argue that compensation is not commensurate with leadership positions at other businesses generating the level of annual revenues produced by stores," said Lloyd Lipman, chief executive officer of Career Management and an adjunct professor at the Fashion Institute of Technology, in a statement. "Retailers have sought to shake their long-standing reputation as 'mediocre players' by offering considerable bonuses tied to store sales, profits, shrinkage and other metrics, along with a variety of other benefits."
About 17 percent of the companies surveyed had a base pay of less than $40,000, while 31 percent pay between $40,000 to $49,000. Only 11 percent pay $50,000 to $59,000. Salaries averaged in the $60,000 to $69,000 range at 17 percent of the companies, while 10 percent were in the $70,000 to $79,000 range. Another 10 percent were in the $80,000 to 99,000 range, and just 4 percent awarded base salaries of more than $100,000.
A whopping 96 percent of the companies offer 401(k) plans for store managers and most offer liberal employee discount programs.
When it comes to compensatory time off and vacations, 38 percent offer comp time to store managers who exceed their allotted hours for the week. The typical vacation policy for store managers was two weeks after one year, three weeks after five years and four weeks after 10 years of service.The survey of human resource executives at retail companies covered a range of compensation and benefits issues for store managers across all retail channels. Participating companies collectively operate more than 12,000 stores in the United States.
@chanel and @pharrell dropped what’s being dubbed as the world’s most exclusive sneakers yesterday. The Adidas Originals NMD Hu, which Williams designed in collaboration with Chanel and @adidasoriginals, has a waiting list of over 120K people who pre-registered online at chanelatcolette.fr –– and only 500 pairs are on sale. The singer predicted the resale value of the shoes could reach $40K. Read the full interview on WWD.com. Link in bio. #wwdfashion (📷: Dominique Maître)
@imanshumpert is diving deeper into his creative endeavors and relaunching his clothing line, Post 90s, and is helping to raise money for the hurricane victims in St. Maarten with a jersey he’s designed with his brother. The Cleveland Cavaliers player talked to WWD about kneeling during the national anthem, working with fashion brands and how he wants to be more than an @nba player. Read the interview on WWD.com #wwdfashion (📷: George Chinese)
Not only does #TheProfit return to CNBC tonight, but @marcuslemonis has launched @shopmarcus, a new shopping and lifestyle retail experience in Aspen and Chicago, with more locations to come. The retail stores offer in-store stylists and a variety of contemporary womenswear selections.
“It’s life, I’m going to face it,” @mingxi11 sighed. “I fell, but you know, I think the most important thing is that I get back up. I had the love, the help from my sister — the girl next to me Gizele [Oliveira] — she’s so nice. When I went backstage everybody was trying to comfort me like ‘Oh Ming, it’s OK.’ I’m really, really touched. I think it’s them who gave me the courage to go back on stage for the finale,” Xi told WWD of her fall at the @victoriassecret fashion show. (📷: David Fisher) #wwdfashion #vsfashionshow #victoriassecret
@louisvuitton tapped @therealpeterlindbergh for its latest city-centric photo book, which is part of a series called Fashion Eye. The primarily black and white book captures the spirit of Berlin in 57 images shot between 1989 and 2019. “Berlin is an inspiration for me, more than a city. I mean @millajovovich is simply Berlin!” said Lindbergh. #wwdfashion
“You know, I think audiences expect a certain performance so I have to deliver to them what they’re expecting to a certain degree. But I’m also a different actor and a different person, I have my own spin on the character,” says @noahegalvin of his takeover of the leading role in “Dear Evan Hansen” following the departure of @bensplatt, who originated the role. Read WWD’s interview with the 23-year-old actor on WWD.com #wwdeye (📷: @jilliansollazzo)
For pre-fall 2018, @etro created richly-colored wonderland, using tapestries, textiles and wallpapers from the Eastern world at large. The line featured floral and graphic prints and jacquard motifs, like this two-piece look featured here. #wwdfashion (📷: Giovanna Pavesi)
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)