Halfords cuts bonuses by £2 million

Halfords-employee-2015Halfords is to cut bonus payments for some employees by a total of £2 million after the organisation failed to hit sales targets.

Although total sales rose by 0.4% in the 15 weeks to 15 January 2016, the sales of car kit, such as de-icer, ice scrapers and batteries, decreased following the warm winter months.

In order to help it meet profit targets, Halfords will implement several cost-cutting measures, including reduced working hours for store-based staff and decreased bonus payments for 1,000 head office-based sales staff and board employees.

Jill McDonald, chief executive officer at Halfords, said: “We are pleased with the group’s performance, given the unprecedented weather conditions.

“Particularly pleasing was the strong growth in service-related sales and we achieved a record day online over the Black Friday weekend, our highest ever day for total sales on 23 December and further improvements in customer service metrics. I would like to thank our colleagues for all their hard work over the busy Christmas period.”