27 February 2006

That’s Asda price - £850,000 in compensation - Andersons Solicitors Nottingham

Supermarket giant Asda has been ordered by an employment tribunal to compensate some of its workers after it was judged to have illegally offered them inducements to give up their union rights.
The hearing in Newcastle was told that more than 300 employees at the company’s warehouse at Washington in County Durham were offered a 10 per cent pay rise if they left their union, the GMB, and ended collective bargaining.
The tribunal ruled that this breached the Trade Union and Labour Relations (Consolidation) Act and ordered Asda to pay each worker £2,500 in compensation.
Employment law seems to get more complex each year and as seen in this case, even the biggest companies can fall foul of the regulations.
As with many facets of employer-employee relations, good legal advice at the outset can save thousands or even hundreds of thousands of pounds in the long term.
Asda says it is disappointed with the ruling and is considering an appeal. We shall inform clients of any developments in future bulletins. Email Andersons Solicitors



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