More than 40,000 Asda store workers WIN equal pay row with supermarket chain's bosses in landmark Supreme Court ruling
- Asda store workers brought equal pay claims against Leeds-based supermarket
- They complained staff working in distribution depots unfairly got more money
- Legal fight by 40,000 Asda store workers, about two-thirds of whom are women
- They say staff working in distribution depots, mostly men, unfairly get more cash
- Asda bosses insisted store jobs were not comparable to distribution centre jobs
- But justices at the Supreme Court in London ruled against them this morningAsda store workers have won a Supreme Court fight with bosses after bringing equal pay claims over complaints that staff in distribution depots unfairly got more money.
More than 40,000 Asda store workers, about two-thirds of whom are women, said staff working in distribution depots, most of whom are men, unfairly get more cash.
Bosses at Leeds-based Asda said store jobs were not comparable to distribution centre jobs, but justices at the Supreme Court in London today ruled against them.The judges decided that store workers, who had made sex-discrimination claims, were entitled to compare themselves to distribution staff for equal pay purposes.
The Asda store workers said they have historically got less because most store workers are women, and most distribution depot staff are men.
Asda bosses have lost a Supreme Court fight with store workers who brought equal pay claims after complaining that staff working in distribution depots unfairly got more money
Lawyers from legal firm Leigh Day, who were representing the store workers, said distribution depot workers got between £1.50 and £3.00 an hour more.Supreme Court justices were asked to consider whether Asda store workers are entitled to compare themselves to distribution staff for equal pay purposes.
Judges considered arguments at a hearing in July - and lawyers said that if Asda store workers win all further stages of their fight they could be entitled to several years' back pay.
They say this will have implications across the retail industry and suggested victory might lead to supermarkets paying out around £8billion.
Store workers bringing claims are members of the GMB union, which hailed the ruling as 'amazing news' and a 'massive victory' for the store workers.
Five Supreme Court judges dismissed Asda's appeal today and unanimously ruled in favour of the store workers.
One, Lady Arden, said: 'This is clearly a very substantial case for Asda. At the time of the hearing before the employment tribunal in June 2016, Asda had around 630 retail stores and employed approximately 133,000 hourly paid retail employees.'
She indicated that the litigation would now proceed to another stage.
'However, my conclusion, agreed by the other Justices hearing this appeal, does not mean that the claimants' claims for equal pay succeed,' she said.
'At this stage all that has been determined is that they can use terms and conditions of employment enjoyed by the distribution employees as a valid comparison.'
Lade Arden added: 'Asda will be able to rely on any defence open to it, including (if appropriate) the statutory defence that the difference in pay was due to a genuine material factor which was not itself discriminatory on the grounds of sex.'
Susan Harris, the GMB's legal director, said: 'This is amazing news and a massive victory for Asda's predominantly women shop floor workforce.
'We are proud to have supported our members in this litigation and helped them in their fight for pay justice.
Customers queue at the checkout at an Asda store in Nottingham on March 19 last year
The Supreme Court in Parliament Square, London, where Asda bosses lost their battle today
'Asda has wasted money on lawyers' bills chasing a lost cause, losing appeal after appeal, while tens of thousands of retail workers remain out of pocket.
'We now call on Asda to sit down with us to reach agreement on the back pay owed to our members - which could run to hundreds of millions of pounds.'
Lauren Lougheed, a Leigh Day lawyer representing Asda store staff, said: 'We are delighted that our clients have cleared such a big hurdle in their fight for equal pay.
'Already an employment tribunal, the employment appeal tribunal and the Court of Appeal ruled that these roles can be compared, and now the Supreme Court has come to the same conclusion.
'It's our hope that Asda will now stop dragging its heels and pay their staff what they are worth.'
But an Asda spokesman said today: 'This ruling relates to one stage of a complex case that is likely to take several years to reach a conclusion.
'We are defending these claims because the pay in our stores and distribution centres is the same for colleagues doing the same jobs regardless of their gender.
'Retail and distribution are very different sectors with their own distinct skill sets and pay rates. Asda has always paid colleagues the market rate in these sectors and we remain confident in our case.'
The litigation began some years ago. In 2016, an employment tribunal decided that store workers were entitled to compare themselves to distribution staff.
That decision was upheld by Court of Appeal judges in 2019. Asda bosses then appealed to the Supreme Court.
Following today's ruling, Jennifer Smith, employment law partner at JMW Solicitors, told MailOnline: 'This is a significant ruling for the retail sector - along with the tremendous financial impact for Asda, the rest of the retail industry could now be exposed to similar group actions from their employees.
'If other retailers' employees were to bring similar claims, the cost to the retail sector is estimated to hit £8billion.'
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