Unions and MPs angry at Sainsbury’s over pay

SAINSBURY’S HAS enraged unions and MPs after refusing to back down in a row over staff pay, with the supermarket accused of “holding a gun to workers’ heads”.

The supermarket giant, which is attempting a £12bn merger with Asda, has been accused by more than 100 MPs of using an increase in its basic pay as a “smokescreen” for the erosion of workers’ benefits such as paid breaks and premium pay on Sundays.

Sainsbury’s said talks with staff were finished, and it would invest an extra £10m in its proposed pay rates. Sainsbury’s wrote to MPs to defend its proposals, but Labour’s Siobhain McDonagh believes the plans will still leave 9,000 staff worse off.

Ms McDonagh said: “How can a company that made pre-tax profit of £589m last year, with a CEO that receives £930,000 before bonuses, think it is right to force a pay cut on thousands of their most longstanding and loyal members of staff?”

Unite, the union representing shop staff, is seeking legal advice, saying the supermarket has failed to consult staff meaningfully.

Unite officer Joe Clarke said: “Bosses have cut short the consultation extension over the plans which will leave thousands out of pocket while still holding a gun to workers’ heads with the threat of ‘sign up to the new contract or be out of a job’.”

Sainsbury’s staff will be moved on to the new contracts in September, and the business will give top-up payments to those negatively affected for 18 months.

Basic pay will be increased from £8 to £9.20 per hour, but employees will no longer be eligible for a staff bonus. Simon Roberts, Sainsbury’s retail and operations director, said: “The changes we are introducing from September will make pay and contracts fair and consistent for all of our colleagues, in every store, regardless of age or length of service.”