3,500 Next Workers Win Landmark £30M Equal Pay Claim After 6-Year Battle
August 28, 2024Lead claimant Helen Scarsbrook expressed relief at the victory, stating, 'We have achieved equal pay... Today we can say we won.'
More than 3,500 current and former shop workers at British retailer Next have won a significant equal pay claim after a six-year legal battle.
An Employment Tribunal determined that the pay disparity between predominantly female sales consultants and male warehouse workers constituted sex discrimination.
The ruling could result in back pay exceeding £30 million for the affected workers, with compensation assessed by the Tribunal.
The tribunal's decision benefits 3,540 claimants who argued that retail sales staff received lower wages than their male counterparts in the warehouse.
The tribunal emphasized that financial considerations cannot justify unequal pay rates based on indirect discrimination practices.
Elizabeth George, a partner at Leigh Day, stated that the ruling addresses significant pay discrimination issues and highlights the need for employers to justify wage differences.
Next argued that the wage difference was necessary for business viability, citing varying market rates for the two roles.
Next expressed intent to appeal the ruling, noting that the tribunal dismissed most claims, including direct discrimination and bonus pay.
The ruling is expected to encourage over 112,000 staff from various supermarket chains pursuing similar equal pay claims against retailers like Asda and Tesco.
The tribunal concluded that Next's financial motivations did not justify the discriminatory wage practices, reinforcing the principles of equal pay legislation.
Compensation for claimants will now be assessed by the Tribunal, with automatic equalization of pay conditions in their current contracts.
Summary based on 7 sources
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Sources
The Guardian • Aug 27, 2024
Next shop workers win six-year battle for equal pay in landmark caseThe Independent • Aug 27, 2024
Thousands of Next employees win landmark pay claim after six-year battleEvening Standard • Aug 27, 2024
Thousands of Next staff win landmark equal pay claim after six-year battleInvesting.com • Aug 27, 2024
Thousands of workers at UK retailer Next win equal pay case