Business Magazine

Coles Mobile Closing Down

Posted on the 17 October 2012 by Prepaidplans @prepaidplans

After what is about a year of being operational Coles Mobile is no longer, following confirmation that staff attending these stalls located within select Coles Supermarkets around Australia had had their jobs terminated immediately.

As a regular customer of the Oakleigh Coles in Melbourne, I could see the signs. The stalls where quite, whilst the promotion was good (well actually not good enough), the stock was plenty and the offers looked appealing. The problem however was that customers didn’t quite know how to interact with the stalls. I don’t think they quite understood the “independence” of it all.

Last Saturday, I noticed that the monthly promotional flyer stand was empty, which was odd (first I had ever seen of this since it was launched). Then the announcement came via the The Age today.

Coles today confirmed that 51 permanent fixed contract workers and 68 casual staff, hired by recruitment firm Chandler Macleod, were told they would be losing their jobs during a teleconference yesterday.
This is what was published.

The text sent to staff read: “Compulsory teleconference 1pm today regarding your employment with Coles Mobile.”

One of the affected employees confirmed he had been summoned to the dismissal teleconference via text message, and he soon learned he was not alone.

“I received multiple messages from coworkers thinking they were the only one who received it,” said the former full-time Coles Mobile staffer who asked not to be named.

In an email circulated at the time of the teleconference, employees were then told that their job had been terminated, effective immediately.

“You will no longer be required to return to your current position at Coles Mobile or finish your shift if you are working today,” said a note from Chandler Macleod which was distributed during the teleconference.

“You are most welcome to return to the store to say goodbye to colleagues and to pick up personal items and return anything that belongs to the Coles Store Manager or Duty Manager,” the note said.

BusinessDay understands there were no “undertakings or commitments about on-going employment” regarding the Coles Mobile jobs, but employees on fixed-term contracts received an additional week’s pay.

In the unsigned document, Chandler Macleod said newly redundant employees were welcome to apply for jobs vacancies at Coles.

Earlier today, Coles said it was modifying its sales of mobile phone products to better meet consumer demand, and confirmed the job losses.

“This change in our mobile phone business means a number of contracted employees will no longer have roles in our business,” said a spokesman for the company.

“These employees were engaged on either fixed-term contracts or as casuals, in recognition that they were participating in a trial.

“However, Coles has sought to do the right thing by these contract employees, by giving them additional payments,” said the Coles spokesman.

Coles is hardly going to abandon this space as there is so much growth in it. Given Woolworths has its own brand now which is or isn’t doing well (it is certainly great value) and has recently launched an international sim card, then Coles would be looking at what it can do not to fall too far behind their rival. I am sure the stores will continue to stock prepaid mobile sim cards and USB modems.

Stay tuned for more on this one.


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