More than 150 members of parliament (MPs) have called on Asda bosses to resolve the ongoing gender-equal pay legal battle, according to the GMB union.
The letter, signed by 159 MPs, has been sent to Asda’s majority owners, TDR Capital. It urges bosses to end what has been described as ‘gender discrimination’ in employment practices.
The campaign is being led by Labour MP Nadia Whittome. It includes notable signatories such as former shadow home secretary Diane Abbott and Plaid Cymru Westminster group leader Liz Saville-Roberts.
The letter demands TDR Capital’s founding and managing partners, Manjit Dale and Gary Lindsay, initiate settlement negotiations with the GMB union.
Backdated Pay Claims Over £2 Billion
The letter highlights the scale of the issue, stating backdated pay owed to retail workers could exceed £2 billion. It urges Asda to take the matter seriously and address the ongoing pay discrimination.
An Asda spokesperson said:
“We fully respect the right of current and former colleagues to bring this case, however, we strongly reject any claim that Asda’s pay rates are influenced by gender.
Retail and distribution are two different industry sectors that have their own distinct skill sets and pay structures.”
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GMB Union’s Stance
GMB national officer Nadine Houghton said:
“GMB members working in Asda stores will be delighted to know that politicians support their cause.
“Low-paid women workers have propped up the profits of retail giants for too long; it’s time they are paid properly for the valuable work they do.”
The letter follows recent demonstrations by Asda workers as the second stage of the supermarket giant’s landmark court case commenced, which is set to impact over 60,000 employees.
Recent Legal Developments in Equal Pay
This dispute follows a recent employment tribunal victory for more than 3,500 current and former employees at Next.. The workers won a six-year legal battle over equal pay.
The tribunal ruled Next’s predominantly female store staff should not have been paid lower rates than its warehouse workers.
Next, however, is appealing the decision. It warns if it fails to overturn the ruling, it may be forced to close stores, given that the cost of extra pay could reach £30 million.
This could significantly impact the retailer’s profitability and ability to open new stores.
The Path Forward
The spotlight on gender pay equality continues to grow, and with parliamentary backing, the pressure on Asda to resolve this issue is intensifying.
The outcome of this case could set a significant precedent for the retail sector, reinforcing the importance of pay equity across industries.