Tesco is facing an equal pay claim over a disparity between store and depot workers’ pay.
The claim, which could cost the supermarket giant up to £4 billion, argues that staff working in predominantly male distribution centres can earn more than £11.00 an hour, while employees in the largely female-staffed Tesco stores receive around £8.00 an hour.
According to Leigh Day, the employment law firm supporting the case, a claim has been submitted on behalf of their clients through ACAS, the first stage in the employment tribunal process. It believes that the underpayment of workers could apply to in excess of 200,000 Tesco employees, with estimated pay shortfalls that could reach £20,000 each.
Paula Lee, the lawyer from the Employment Team at Leigh Day, said: ‘We believe an inherent bias has allowed store workers to be underpaid for many years. In terms of equal worth to the company there really should be no argument that workers in stores, compared to those working in distribution centres, contribute at least equal value to the vast profits made by Tesco.’
A spokesperson for Tesco said: ‘We are unable to comment on a claim that we have not received. Tesco has always been a place for people to get on in their career, regardless of their gender, background or education, and we work hard to make sure all our colleagues are paid fairly and equally for the jobs they do.’
This latest claim highlights that equal pay is becoming a more prominent issue. At the time of writing, a poll of HR professionals by Employee Benefits found that 76 per cent believe that the Tesco case will pave the way for more equal pay claims. Just 12 per cent thought it wouldn’t make a difference, while 12 per cent were unsure.
A similar claim was launched in 2016 by a group of Asda workers, who also argued that the roles in stores and distribution centres were comparable.
In September 2017 Asda lost its appeal in the Employment Appeal Tribunal, which found that lower paid female store workers could compare themselves to higher paid men who work in Asda’s distribution centres.
Leigh Day not only represents the equal pay claim for Asda workers, which is ongoing, but also for shop-floor workers at Sainsburys.