Reports suggest that Asda executives will not receive their annual bonuses.

After its market share shrank, Asda’s supermarket chain will not be paying bonuses to more than 10,000 managers this year.

Asda’s Christmas performance was the worst in 10 years. Its market share dropped from 13,7% to 12,6%. The annual report is expected to be released at the end this month.

The Telegraph reports that Asda will not award the annual bonus to its senior staff during the first three month of the year.

Bonuses are usually given to around 10% of the supermarket’s 134.500 employees. This is equivalent to 14,000 workers.

A former senior employee warned the newspaper that morale could be at “rock bottom” and that managers may look for other opportunities.

According to a report, a recruiter said that if bonuses are not received, it could cause “anarchy” in the company.

Asda workers reached the final stage of their equal-pay claim last month. A tribunal determined that 12 of 14 female claimants were able to compare their work with male workers at distribution centres.

Asda publicly stated in the past that financial pressures were the reason why they refused to accept these claims. If the claim is successful, it could result in a final compensation of up to PS1.2 billion.

In November 2024, the supermarket appointed Allan Leighton as its new executive chairman. Leighton served on Asda’s executive team in the 1990s, and is credited with turning the company around before its sale to Walmart.

Moshin Issa left his CEO position in September. The supermarket is still searching for a new chief executive. Asda will be acquired by the billionaire Issa brother in 2021, along with private equity firm TDR Capital.

Personnel Today: HR roles for retail and wholesale

Browse HR positions in Retail and Wholesale