Female Asda workers win key ruling in equal pay claim

Female checkout operators and shop floor assistants working for British supermarket Asda have succeeded in the latest element of their equal pay claim which commenced in 2014.

An employment tribunal has ruled that their work is of equal value to the mostly male distribution centre staff.

Background to the case

The Asda equal pay claim is a landmark case involving over 60,000 predominantly female store workers claiming back pay worth up to £20,000 per individual claim (worth up to a total of £1.2 billion). The workers argue they are paid less than their male counterparts in distribution centres for work of equal value.

In March 2021, the Supreme Court ruled that Asda’s mostly female retail workers had comparable roles to those of distribution workers, crucially allowing the case to proceed to the next stages.

Employment tribunal rules in favour of lead claimants

In January 2025, an employment tribunal held that Asda’s attempts to justify the difference in pay were not well founded and ruled in favour of 12 out of 14 of the lead claimants. This case highlights ongoing gender pay disparities and could have significant implications for other supermarket chains facing similar claims

The tribunal’s recent decision confirms that the roles of store workers, which are predominantly carried out by women, are of equal value to those of their male counterparts in distribution centres.

Asda sought to rely on the ‘material factor’ defence in order to justify the differing rates of pay. They argued that pay differences were justified by a material factor unrelated to gender, i.e. different working conditions, skills required, market rates or other business-related reasons. In this case, the tribunal found that Asda’s justifications were not well-founded, leading to the ruling in favour of the female retail workers.

Asda maintains its argument that its pay rates are not discriminatory towards female workers and plans to continue to defend its position as the case moves to the next stage of litigation. During this stage Asda will have to show that there is a reason for the pay difference between store workers and warehouse workers which is not based on sex.

Recommendation for employers

Following the ruling, retailers may face increased scrutiny of their pay structures and practices. This could lead to more claims being filed by employees who believe they are being paid unfairly compared to their counterparts in different roles.

See below a number of recommendations for employers in light of the recent ruling:

• Proactive Review: Conduct a thorough review of pay structures and practices to identify and address any potential disparities.
• Legal Consultation: Seek advice from employment law experts to navigate the complexities of equal pay regulations and to prepare for any potential legal challenges.
• Employee Engagement: Communicate transparently with employees about the steps being taken to ensure pay equity. This can help build trust and mitigate any potential unrest.
• Policy Updates: Update policies and procedures to reflect a commitment to pay equity and to prevent future disparities.

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