With over 150 MPs actively involved, pressure mounts on Asda to address gender pay disparity.
- 159 MPs have addressed Asda’s majority owners, urging resolution of the gender discrimination case in its second phase.
- The unresolved pay discrepancies could mean Asda retail workers are owed over £2 billion in backdated pay.
- Asda, defending its pay structure, asserts the differences stem from industry sector requirements.
- The outcome could significantly impact over 60,000 employees, amid heightened political and legal scrutiny.
Over 150 Members of Parliament have stepped into the ongoing gender pay dispute involving Asda, reflecting growing political pressure on the retail giant. In a letter signed by 159 MPs, Asda’s majority owners, TDR Capital, are urged to engage in settlement talks concerning the case characterised as ‘gender discrimination’. The matter is now in its second stage, with substantial financial implications involved.
The MPs’ letter highlights that the backdated pay owed to retail workers could potentially exceed £2 billion, a figure that underscores the magnitude of the issue at stake. As the lead signatory, Labour MP Nadia Whittome, along with prominent figures such as Diane Abbott and Plaid Cymru’s Liz Saville-Roberts, emphasise the urgency for resolution.
Asda, however, remains firm in its stance, with a spokesperson stating the company’s pay rates are not influenced by gender. They argue that the retail and warehouse sectors demand distinct skills and pay structures, reinforcing their defence in an ongoing tribunal. Asda is expected to justify why predominantly female retail workers are paid up to £3.74 less per hour than their mainly male warehouse counterparts in a three-month-long trial.
The role of GMB union has been pivotal in rallying support for affected workers. GMB national officer, Nadine Houghton, expressed that backing from politicians is a morale boost for those fighting for equal pay. Asda’s workers have previously held demonstrations as part of the ongoing legal proceedings, signalling significant unrest.
Legal representatives from Leigh Day, acting for the GMB union, are optimistic about the outcome. They acknowledge the importance of this stage 3 hearing, where Asda must prove that the pay differential is not gender-based. This follows a similar case where fashion retailer Next failed to justify such disparities and lost their lawsuit.
The unfolding events mark a crucial juncture in the ongoing struggle for equal pay in the retail sector.
