ASDA Retail – TUPE pensions at risk

Download as PDF

This week, Asda have entered 45-day collective consultation on their proposal to alter the contracts of at least 697 colleagues working in Asda who have terms or conditions in their contracts that were retained as part of a TUPE when they became Asda colleagues.

A TUPE, or “Transfer of Undertakings (Protection of Employment)” is where a business or part of a business moves to a new owner or merges with another business. In Asda, this usually happens where the business purchases a shop or other property from another retailer, and those employees become Asda colleagues.

Asda are proposing to alter the contract of those colleagues to remove any previous reference to pension or life assurance payments, to harmonise the contracts with all other Asda colleagues, which would result in those colleagues being impacted by other pension proposals.

The proposal states that these colleagues’ protections cost Asda £93,200 per year. To put that into perspective, that is 0.0004% of Asda’s sales in 2016 and equal to pocket change for Asda and their parent company.

GMB London Region feel that the company should be looking to invest in a pension which will assist to secure the financial future for our members and follow the ASDA’s motto of “Save money, Live Better” as opposed to Every Day Low Cost (ESPECIALLY FOR COLLEAGUES)

GMB London Region will continue to challenge and debate with Asda over this and other pension proposals that have been put forward by the company in recent days.

If you’re an impacted colleague and would like support or advice speak to your local GMB shop steward or visit the GMB Members’ Support Centre at

Kind regards

Nathan Clarke

GMB National Shop Steward