The final hearing of the second phase in Morrisons’ equal pay claim saga has commenced. This hearing focuses on determining the equivalence of specific store roles to their warehouse counterparts, highlighting ongoing legal challenges for the retailer.
Morrisons, a major player in the UK supermarket sector, is undergoing a critical phase in its equal pay case, which was initially launched by the GMB union in November 2018. The case involves over 7,520 workers and questions whether the predominantly female retail workforce is receiving less pay compared to the primarily male warehouse staff.
Currently, the Employment Tribunal is examining four store roles including customer assistant positions in the café, petrol station, and deli, along with the checkout team leader role, against the Logistics Key Operative role at two depots. The primary goal of this hearing is to compare the factual content of these roles to understand if they hold equal value.
If the tribunal rules in favour of the claimants, Morrisons may face a substantial financial settlement, akin to similar cases in the retail sector. For instance, Tesco is dealing with a £4 billion equal pay claim, and Asda workers might claim over £2 billion in backdated pay. In a recent case, Next was required to pay over £30 million following an adverse tribunal ruling.
The current stage follows an earlier phase concluded in September 2021, which affirmed the comparability of store and depot roles for assessing equal value. This forms a crucial basis for the ongoing tribunal proceedings. The outcome here will be pivotal in deciding if Morrisons’ compensation strategies are justified or require adjustments.
As this hearing progresses, it underscores the broader challenge facing UK retailers amidst ongoing equal pay claims. Other giants such as Asda, Tesco, Sainsbury’s, and Co-op are navigating similar legal landscapes, reflecting a sector-wide scrutiny over wage equality.
The outcome of this tribunal stage will significantly impact Morrisons and potentially set a precedent for the UK retail industry. The decision will not only influence Morrisons’ legal strategy but also the approaches of other retailers embroiled in similar disputes.