Macy’s ordered to restore commission for in-store mobile app sales

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May 2021
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RIS News
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What: As more and more retailers implement mobile checkout and contactless payment, a new ruling may have lasting implications for retail tech.

Why is it important: Adopting the right commission scheme is crucial to the omnichannel strategy.

Macy’s added mobile self-checkout to most of its retail stores in 2018, through an app enabling shoppers to scan barcodes on merchandise, and then go through a dedicated mobile checkout line. After three years of customers utilizing the retail tech, Macy’s employees have scored a victory in the case that Macy's failed to award commissions from purchases made through the app.

The grievance was filed by about 600 employees at six stores and the arbitrator ruled in favour of the union, which represents 11 000 Macy’s employees, to make the company end its practice of using its Scan and Pay mobile app to deny commissions to employees on in-store purchases.

As retailers continue to implement new omnichannel forms of shopping, the case should be kept in mind as tech plans are being drawn out.


Macy’s Ordered to Restore Commission for In-Store Mobile App Sales