Outrage as Sainsbury’s ploughs ahead with changes to staff pay

SAINSBURY’S has enraged unions and MPs after refusing to back down in a row over staff pay, with the supermarket accused of “holding a gun to workers’ heads”.

The supermarket giant, which is attempting a £12bn merger with Asda, has been accused by more than 100 MPs of using an increase in its basic pay as a “smokescreen” for the erosion of workers’ benefits such as paid breaks and premium pay on Sundays.

Sainsbury’s attempted to quell the backlash on Thursday, saying talks with staff were finished and it would invest an extra £10m in its proposed pay rates.

Sainsbury’s wrote to MPs to defend its proposals, but Labour’s Siobhain McDonagh believes the plans will still leave 9,000 staff worse off.

“How can a company that made pretax profit of £589m last year, with a CEO that receives £930,000 before bonuses, think it is right to force a pay cut on thousands of their most longstanding and loyal members of staff?” Ms McDonagh said.

Unite, the union representing shop staff, accused the supermarket of “breaking its promises” because it would not allow employees to sign up to the new pay structure voluntarily.

Sainsbury’s staff will be moved on to the new contracts in September, and the business will give top-up payments to those negatively affected for 18 months.

Basic pay will be increased from £8 to £9.20 per hour, but employees will no longer be eligible for a staff bonus.