Saturday , July 31 2021

23,233 jobs less than five years

The scenario that is more prone to e-commerce and logistics logistics are faced by large retailers from Chile. And in their plan to make their work more effective in Latin America, they had to limit their donation to factory workers.

After reaching its peak, the four major retailers (Cencosud, Falabella, Ripley and La Polar) have begun an escalation of cost-cutting and productive efficiency, resulting in a sharp reduction in the number of employees needed for their operation

According to the financial statements of each company in the last five years, large retailers have reduced their jobs by 23,233. Much of the fall in the number of employees is related to retail trade controlled by a German-based businessman, Horst Paulmann. Cencosud has reduced its number of employees by 19,697 between September 2013 and the same month of this year.

The group, which operates Jumbo, Santa Isabel and the Paris Chain in Chile, is coming from year 2013, reducing the number of employees it employs for its operations in Chile, Brazil, Argentina, Peru and Colombia. However, it is one that generates more direct work with 135,182 workers.

Another who also launched a strong adjustment plan is La Polar. The company controlled by Leonidas Vial, Anselmo Palma and the brothers Fernando and Alberto Delphaw in the past five years, and within its operational efficiency plan, reduced its assets to nearly five thousand people.

Although the strategy, which also includes reducing the size of its stores, returns to profit for several years in a row, the firm can not yet be imposed and plans to deepen its commitment to efficiency. Thus, from February to March, the headquarters will change. La Polar will leave its historic location Renéna to be located in Ciudad Empressaril after the operation to sell the property, which will be worth 330,000 UF.

"We have had problems with efficiency and what La Polar is down to, are four or five barracks." We need more control over what's happening. "We have changed the whole commercial team and there are a few other executives," said a senior retailer who asked to keep his name.

The Fallabella case

Similarly, Falabella also experienced a rearrangement of work. The company – controlled by the families of Solari, Del Rio and Cuneo – last year decided to have employees in China and India, whose record was recorded in their financial statements.

In fact, the group that closed the first nine months of the year with a total of 101,566 workers, the second largest employer in Cencosud and the number of its workers has steadily increased. However, this increase is not the same level in all countries in which it is present.

Between January and September 2013 and the same period of 2018, Chile's Operation Falabella reduced the number of jobs in 2,224 individuals. Although the low represents only 4% of its workers.

However, in the same time period, Falabela increased the number of employees in countries such as Colombia and Peru with 18% and 10%, respectively.

From Falabela, they explained that, in fact, with respect to the employment of the department stores, from 2013 to the present there is a decrease of 1,000 workers. However, this is not due to layoffs, but to the transformation of functions. Due to the growth of e-commerce, Falabella has strengthened its customer service and logistics areas, incorporating new associates.

The company added that given all Falabella service providers, today the company has 800 more workers than before.

While in the Ripley case, his number of employees has been practically flat over the last five years. Only in September 2015, its operations registered 25,218 employees.

The reasons behind the fall

Professor of Postgraduate Management at the University of Chile, Jorge Carnellia, said logistics and e-commerce were the main factors that reduced the creation of new jobs in retail.

"Today, in many call centers, your answers are robot, I can give Ripley the example of Eva, whose name is her robot, which answers a series of questions." So, there are many examples. societies, but also in other areas such as the lines, "the academician said.

Similarly, the growth of e-commerce is another reason for the decline in jobs.

In a recent conference with analysts, Rodrigo Lariné, CFO of Cencosud explained that "consumers are accepting the flexibility of the buyers, and we are particularly pleased with the strong growth of e-commerce sales, 24% above the year in the currency constantly."

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