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Co-op shop floor workers win equal pay row

The business conceded that shop floor workers are comparable to distribution centre staff.

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Shop floor workers at Co-op have successfully won a legal argument over securing equal pay with warehouse staff.

 

Since the battle begun, more than 1,600 mostly female staff members have been fighting to receive fair pay compared to that of their male counterparts in distribution centres, who receive up to £3 an hour more.

 

However, the business has since admitted a “comparability concession”, which is a step towards recognising the different roles are of equal value, reported the BBC.  

 

Despite this, the Co-op revealed that its workers were paid “fairly” and that the battle was far from over.

 

Commenting on the case, Tom Hewitt of solicitors Leigh Day, which is representing the workers, explained that they had now “cleared the first hurdle in their claims for equal pay”.

 

He continued: “We hope that Co-op recognises that they can no longer deny that the work store workers do is of equal value to that of their distribution centre colleagues.”

 

 

The law firm added that women at the firm felt “underpaid for the same effort” as their male colleagues.

 

Co-op’s latest concession signifies the start of a three-step process, according to Leigh Day, which could see the workers reclaiming thousands of pounds of missed back pay.

 

Due to this, the firm will have to explain how the roles are not of equal value, or that there is a genuine reason for the pay difference, which is not based on gender.

 

A spokesperson for Co-op added: “Our colleagues play an important role in feeding the nation and it’s central to the Co-op’s values that we pay them fairly for the work that they do in supporting communities.

 

“We believe that we pay our colleagues fairly for the roles that they do, and so will continue to defend these claims.”

 

Beth Leng, partner in the employment team at SA Law, warned that this incident underlines the importance of employers having robust and “carefully risk assessed remuneration practices and policies”.

 

She told Reward Strategy: “Employers and their HR teams should be proactive – taking a sensible and pragmatic approach will help avoid similar action – which can have an adverse effect on its reputation and commercial opportunities. Look at diversity data across different positions and teams using a wide lens. If terms and conditions appear to be unfair on the face of it, change them before complaints are made.”

 

Gender pay gap issues

This news comes after several other cases involving supermarket chains Tesco, Sainsbury’s and Morrisons, where it was concluded that store workers could be compared with distribution staff.

 

Meanwhile, last year the Institute for Fiscal Studies (IFS) revealed that there has been “little progress” over the last 25 years when it comes to the gender pay gap. 

 

It found on average, working-age women in the UK took home 40% less a week and £3.10 less an hour than men back in 2019.

 

And with employers such as Co-op and several supermarkets previously found to be paying female employees less, it suggests that the gender pay gap is still an issue that reward and payroll leaders need to target.

 

Keep up to date with the latest employment law news by signing up to receive the Reward Strategy newsletter here.

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