Asda yesterday revealed proposals to move all its hourly-paid retail staff in England, Scotland and Wales to a new, standardised contract that would streamline the supermarket’s existing six different contract types to one.
The proposals would see all Asda’s retail staff receive an increase in their basic hourly rate to £9 per hour, as well as maintaining their existing benefits such as annual bonus, colleague discount, sharesave and pension.
However, in return, they could be asked to agree to work more flexible times and different departments in their store, as well as forgoing paid breaks.
Asda stated that the proposed changes would bring it into line with industry standards and align all its retail hourly-paid staff to a single contract.
Asda’s Senior Vice President, Operations, Anthony Hemmerdinger said: “As our customers continue to change the way they shop with us, we also have to be prepared to change to meet their needs and a key part of delivering great service is having the right colleagues in the right place at the right time, which is what this contract aims to achieve.
“This proposal is also about increasing our basic rate of pay and aligning the way of working in our stores so that everyone has the same contract, making it fairer to all colleagues and ensuring we can consistently provide the best service to customers.”
Asda has entered into a consultation process with staff on the proposed contract change which the retailer wants to implement later this year.
However, Gary Carter, National Officer at GMB, the union for Asda workers, called on the business to “stop this approach and negotiate the changes with staff properly”.
He said: “Absolutely nothing has been agreed with GMB and we will fight any imposition of these contracts on our members.”
He stated that a similar contract to the one being proposed was offered on a voluntary basis to Asda staff two years ago and “nearly 60% of employees opted not to go on the new contract”.
He added: “These contract changes will affect nearly 60,000 members of staff and they cannot just be imposed from the top. We expect Asda to negotiate. If they want to roll out the new contract they must listen to employees and sit down with GMB to discuss beneficial improvements to terms and conditions which have the support of the workforce.
“We know Asda employees will be anxious and unsettled by the announcement, which comes shortly after CMA provisional findings.”