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- BUSINESS, Page 45Business NotesRETAILINGIs This a Store Or a Salt Mine?
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- Nordstrom department stores, a 60-store U.S. chain
- concentrated mostly in the Far West, are renowned for the fine
- customer service provided by their seemingly tireless
- salespeople. But does Nordstrom's corporate culture have a dark
- side? The Washington State department of labor has ruled that
- the company illegally pressured employees to perform many
- work-related duties "off the clock." Nordstrom was ordered to
- pay its Washington clerks two years' worth of overtime, which
- could amount to several million dollars.
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- The finding stemmed from a complaint by the United Food and
- Commercial Workers union that the secret behind Nordstrom's
- service is grueling pressure to produce sales. The union
- provided testimony from some former employees who complained
- of ulcers and 15-hour stretches of work without breaks.
- Nordstrom acknowledges its hard-driving culture but contends
- that the claims are exaggerated. Says co-chairman Jim
- Nordstrom: "Sometimes in an effort to increase production,
- management may overdo it. We're contest-motivated, and if that
- puts too much pressure on our people, I'll take the fall on
- this one."
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