Asda workers who are fighting for equal pay in the distribution centres have reached the final stages of their legal battle. The employment tribunal has ruled that some of their jobs were of equal value as those of their colleagues.
The court found that 12 of the 14 women who acted as “lead claimants” for the store employees had established an equal value to some of the male comparator.
Asda’s shop floor workers now have two of three stages of their claim for equal pay won. This confirms that their roles are similar and of equal worth. Asda will be required to explain the reason behind the pay difference at the third stage.
Leigh Day, the lawyers who represent more than 60,000 Asda workers in the equal pay claim, said that they were disappointed and may appeal against the tribunal’s decision that two roles (personal shoppers and shop-floor assistance – edible groceries) were not equal in value. The decision covers the period from August 2008 to June 2014.
The claim was launched in 2014.. It concerns whether shop floor workers, who are mostly women, receive less pay than distribution workers (mostly men), which is against the equal-pay law. Individual claims may be worth up to PS20,000 if successful.
Lauren Lougheed, a partner at Leigh Day, said: “This represents a major step forward for Asda workers. They have now established equal value. I’m so happy for our clients who have been fighting for recognition of the worth of their work for more than 10 years. Asda should now be focusing on quickly resolving these cases, instead of prolonging the process.
The ruling today will be a bitter disappointment for those clients who are in jobs that weren’t found to have equal value. We think that these roles were well-represented, and will discuss our next steps with the affected parties.
“Equal pay for equal work is a fundamental human right. This decision brings us closer to making sure that Asda employees who are hardworking are compensated fairly and receive what they deserve.
Our clients are clear in their demands: They want to be treated fair. It means that they should be paid the same amount as their colleagues who work in the other areas of the company and do equal-valued work.
Asda must now prove that the pay gap between warehouse and store workers is not due to sex.
Lawyers will work to apply the findings of the tribunal to other claimant jobs, including those that are not covered by the lead claimant role.
Linda Wong, a Leigh Day partner who represents the women, stated: “We are aware that Asda publicly cited financial concerns in the past to justify its refusal to accept these claims. The company’s financial reports show a different story, showing it is still a profitable enterprise that can address pay disparities with little hardship. “It is important to remember that Asda’s business would not exist without the workers on the shopfloor.
The shop workers of Next won their equal pay case last year after the retailer failed in its duty to prove that the pay difference was not due to sexism, despite having demonstrated in the past that their roles were comparable and equal in value.
Leigh Day represents more than 37,000 employees in similar claims filed against Tesco and Sainsbury’s.
The final compensation amount for the Asda case, if it is successful, could reach PS1.2bn.
Nadine Haugton, GMB’s national officer, stated: “This historic step is tainted by bitter disappointment for those workers who will now be facing an appeal.”
“These women are fighting for what is owed to them for over 10 years. They are on the verge of ending a era where retailers have undervalued women.
It’s interesting that many of the roles deemed to be equal are those women have played on the shop floor for decades.
“It is a devastating blow that certain roles were not deemed of equal value. We will discuss next steps including the possibility for an appeal.
“GMB calls on Asda now to stop wasting money and time by dragging this through the courts. Come to the table and agree with us a settlement.”
Asda spokesperson: “We reject the claim that Asda pay rates are unfair.
Asda will continue defending these claims in the next phase of litigation, because retail and distribution is two distinct industry sectors with their own market rates.
Philip Richardson is a partner at Stephensons and the head of employment law. He said, “While this judgment remains subject to appeal, it represents another historic moment for thousands workers across the country. It is a judgment that demonstrates, once again, the fact that there’s no real reason to pay store workers less than warehouse workers because of their gender.
The verdict today could lead to a flood of similar lawsuits in the retail industry and many other places. Some of these are already underway. Some, notably unions such as the GMB see this verdict as a punishment for an industry that has consistently undervalued women’s work.
The verdict will be a source of concern for many, as it could have a huge impact on the future of the country.
Subscribe to our weekly HR news and guidance
Every Wednesday, receive the Personnel Today Direct newsletter.
