Employment Tribunal Ruling Raises Serious Concerns
Retailer Next faces uncertainty over its warehouse operations following a tribunal ruling mandating equal pay for shop and warehouse staff. The company argued differing pay rates were due to market forces and recruitment challenges in warehouses. However, the tribunal found that paying female sales consultants less than their male counterparts constituted sex discrimination. With a potential £30 million cost in back pay, Next’s ability to keep stores profitable is at risk, as some may become unviable if the ruling stands. The legal team is confident of an appeal, but the process may take a year.