MPs say Sports Direct is run like a Victorian workhouse

MPs have accused Sports Direct’s boss of running a business more like a ‘Victorian workhouse’ than a reputable High Street retailer.

A damning report says Mike Ashley must be held accountable for ‘appalling’ working conditions which saw staff treated like ‘commodities’ rather than people.

Labour MP Iain Wright, chairman of the business select committee, raised fears that Sports Direct’s practices – which helped Mr Ashley amass a £2.4billion fortune – could become ‘much more the norm’ if other firms try to emulate the store’s success.

The committee has been investigating conditions for the 3,000 staff at Sports Direct’s Shirebrook warehouse in Derbyshire. Most of them were on controversial zero-hours contracts which do not guarantee a minimum number of shifts.

Giving evidence last month, Mr Ashley admitted staff were effectively being paid less than the minimum wage as they faced long queues to be searched before they could go home.

Yesterday, it emerged that HM Revenue & Customs is also investigating pay for the 13,000 workers across Sports Direct’s 465 shops, amid fears that they are also being paid too little.

MPs heard how workers at the warehouse were penalised for taking time off sick and lost 15 minutes’ pay if they were one minute late. Numerous ambulances were also called to the site, including one for a woman who gave birth in a toilet.

The report was equally critical of agency firms which supplied Sports Direct with temporary staff. It was claimed one charged workers without bank accounts £10 a month to have their wages put on a pre-paid debit card.

Sports Direct, which has pledged to overhaul its working practices, faces multi-millionpound fines as well as paying staff their owed wages. It said it would study the report, adding: ‘It is our policy to treat all our people with dignity and respect.’