Tesco faces threat of industrial action

TESCO is facing the prospect of disruptive industrial action by 12,000 staff in more than 110 stores across the country over plans to reduce workers’ entitlements.

Mandate trade union, which represents the workers at the company, yesterday said it had received written confirmation from Tesco that moves to reduce the terms and conditions of long-term staff at its store in Douglas, Cork are to be replicated nationwide.

That will mean staff, who have been there since before 1996, will no longer receive entitlements such as premium payments for certain shift patterns, the right to work certain hours and certain Sundays and certain other allowances.

In Douglas, the move has lead 80 staff to plan strike action for next Wednesday, just two days before Tesco is due to open newly-revamped premises there.

The company has told staff, some of whom have been working there for up to 30 years, that pre-1996 workers will be made redundant if they do not accept the compulsory buyout of their preferential terms and conditions and accept new contracts by April 30.

Yesterday, Mandate said its national executive had briefed shop stewards on plans to bring in the same efficiencies nationwide.

The union said the proposals were particularly galling given that Tesco announced £3.2bn (€3.59bn) profits worldwide earlier this week and €3.1bn in sales in Ireland alone.

“Quite clearly our members will not accept the company compulsorily changing their terms and conditions without agreement,” said Lorraine O’Brien of Mandate.

“Obviously this is a clear attempt to erode and disregard both national and local agreements built up with this company over the last number of years.

“The company are using the recession to drive down workers’ wages and entitlements even though they have declared such massive profits, announced only in the last couple of days.

“Tesco shareholders are looking very closely at how they manage businesses in Ireland, Hungary and Turkey. Clearly the company is attempting to trade off staff entitlements against the bottom line for their shareholders.”

Last night Tesco said the claims by Mandate were “wrong” but would not elaborate on what was inaccurate.