Asda to bump up staff pay with new 'flexible' contracts
Supermarket group Asda has offered all of its 135,000 store staff a pay increase to £8.50 an hour from October as part of a new contract.
The pay rise, which is £1 above the government's incoming National Living Wage, is part of a new contract offer - which staff can choose to accept or not - meaning they could be asked to work in different parts of their store and work different days or hours.
In addition, the new 'flexible' contract will see staff agree to work Bank Holidays or take them as annual leave, while all breaks will be unpaid.
Asda also said its night shift window will be moved, with staff paid a premium for anti-social hours between midnight and 5am, rather than the current 10pm until 6am.
The company insisted this was not a zero hours contract and that colleagues will retain guaranteed minimum hours.
Asda has calculated that 95% of current colleagues will be better off if they choose to move to the new contract type, some by more than £1,000 a year.
Asda's senior vice-president of People, Haley Tatum, said: "Our current employment contracts have evolved over decades. They mean we have different colleagues on different terms and they don’t give our colleagues the level of flexibility our customers need to meet their changing needs. Our customers shop in different ways at different times and they expect us to deliver them the same great level of service whenever they visit us.
“This new contract will also mean that colleagues can gain a broader level of experience across their store, which will in turn give them better opportunities to progress and develop their career in retail."
GMB general secretary Tim Roache said: "These new flexible contracts will help to ensure job security, ensure those accepting them are on the same terms and - best of all - ensure that people will earn more money as a result. The new contract offer involves quite a few changes, but as it’s voluntary, this allows colleagues to choose whatever suits their circumstances best.”