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Dixon Mobile As the boss of the tech retailer warned that the employee market is “heating up,” it is raising workers’ wages.
Out of concerns about the shortage of workers across the UK, the retailer has pledged to increase the minimum hourly wages for its UK shops, call centers and home delivery workers by an average of 9% from October to bring it into line with the recommended Living wage London costs 10.85 pounds per hour and 9.50 pounds per hour outside the capital.
Last year, the group also paid three one-off monthly bonuses of 150 pounds per person to delivery drivers, warehouse workers, and those engaged in product repair and installation work in recognition of working away from home during the pandemic.
CEO Alex Baldock said that the group was able to retain and recruit enough retail employees, delivery truck drivers and product installers because it also provides training and more interesting Work and increase pay.
He acknowledged that the lack of HGV drivers is “a challenge” for the company, but it has been able to use its strength as a market-leading retailer to ensure adequate product supply. Dixons does not directly hire truck drivers; they work for its logistics partner DHL.
Baldock’s remarks came as Dixons Carphone’s annual profit increased by a third as it increased its online sales of electronic products (including TVs, laptops, and video game consoles) to consumers trapped at home during the pandemic blockade. Nearly 5 billion pounds.
The retailer, which owns the Currys PC World brand, said that revenue from online ordering of electronic products more than doubled year-on-year to 4.7 billion pounds, supporting a 34% increase in basic pre-tax profit to 156 million pounds.
Baldock said that he expects technology spending to continue to be strong as the shift to working from home and new interest in gaming and digital entertainment lead to permanent changes in habits. “We are really just warming up,” he said.
“Technology has become the core of people’s lives. As a market leader, with a successful omnichannel business model, we can take full advantage of this.”
Online sales only accounted for more than 45% of the company’s total annual revenue, an increase of 2% to 10.3 billion pounds. Although stores in the UK, Ireland, Norway, Denmark and Greece have been closed for a long time, similar sales of electronic products have increased by 14%.
The company’s adjusted profit before tax increased by 34% year-on-year to 156 million pounds, slightly higher than analysts’ expectations.
Dixons Carphone stated that the sales of computing products, especially Apple devices and gaming devices, have increased by a quarter, while TV sales have “significantly increased” with the help of the Euro football game, and has improved Interest within digital entertainment. Sales of household appliances slowed down during store closures, but the company said that since the reopening, the situation has been encouraging.
In the United Kingdom and Ireland—the company will change its name to Currys this year and abandon the Dixons, Carphone Warehouse and PC World brands—online sales increased 114% to £3.4 billion.
This helped offset the loss of sales caused by the forced closure of stores during the lockdown, which also caused the closure of Dixons Travel airport stores.
The company announced in April that it would Permanently close all Dixons Travel stores Because it did not anticipate a full recovery in the number of passengers to make up for the decision of the British government to cancel duty-free shopping.
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Baldock said that Dixons will continue to promote online sales by updating its website, expanding its online live sales service, and testing faster delivery formats, including cooperation with ride-hailing and express group Uber. He said Uber will provide fast delivery services directly from stores instead of off-site warehouses.
Dixons Carphone said it has restarted its shareholder dividends and refunded £73 million in leave payments received by its British and Irish employees, as well as £144 million in deferred value-added tax.
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