Workers at eight Tesco warehouse sites across the UK have rejected the company’s pay increase offer, raising concerns over potential disruptions during peak trading periods.
- The pay proposal, which ranged from 2% increases to a 4.4% raise with an additional £500 bonus, was overwhelmingly dismissed by the employees.
- The retail distribution trade union Usdaw has initiated a consultative ballot to gauge workers’ willingness to proceed with industrial action.
- If approved, the strike could coincide with the critical pre-Christmas trading period, potentially impacting Tesco’s distribution capabilities.
- Despite previous pay and benefit investments by Tesco, the union and the company remain in negotiations to resolve the issue.
The rejection of Tesco’s pay increase offer by employees working at eight distribution sites has placed the company in a challenging situation. These sites include Hinckley, Magor, Southampton, Daventry Clothing, Goole, Lichfield, Livingston, and Peterborough. This decision opens up potential disruptions in Tesco’s distribution network during the vital trading period leading up to Christmas.
The disputed pay offer included raises starting from 2%, with some contracts offering up to a 4.4% increase along with a £500 bonus. The workers, represented by the retail distribution trade union Usdaw, found the proposal unsatisfactory, expressing their discontent strongly.
In response, Usdaw has launched a consultative ballot running from 9 to 24 September to determine whether the workforce is prepared to undertake industrial action over the pay disagreement. This ballot period is crucial as it may coincide with the peak holiday trading timeline, further intensifying the pressure on deliberations.
Usdaw’s national officer, Mark Todd, stated, “Usdaw members have spoken and made their opinion clear, that the company’s offer is not an acceptable pay increase.” He further expressed disappointment over the lack of an agreeable settlement and encouraged Tesco to return to negotiations for a constructive resolution.
A spokesperson for Tesco defended their position, highlighting that the current offer is equivalent to double the existing rate of CPI inflation. They emphasised the company’s commitment to engaging with Usdaw to reach an amicable settlement while mentioning substantial pay and benefits improvements over recent years.
The ongoing negotiations between Tesco and its warehouse workers remain critical as both sides seek a resolution before potential strikes disrupt the peak trading season.
