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Sainsbury’s under pressure regarding living wage for all workers

Sainsbury’s is under pressure to pay all staff and contractors the independently set living wage after Coutts & Co and the Coal Pensions Board joined a… View Article

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Sainsbury’s under pressure regarding living wage for all workers

Sainsbury’s is under pressure to pay all staff and contractors the independently set living wage after Coutts & Co and the Coal Pensions Board joined a group of investors who are backing a resolution calling for the move.

According to The Guardian, the resolution will be voted on at Sainsbury’s annual shareholder meeting on 7 July. This has been tabled by ShareAction which has called for the supermarket to commit to becoming accredited with the Living Wage Foundation.

However, the newspaper said Sainsbury’s has written to shareholders asking them to vote against the resolution due to it already paying more that many of its competitors.  It also told shareholders that it prefers to set its own pay rates rather than have them determined by an outside body.  

Sainsbury’s pays directly employed staff the living wage, as calculated by the Living Wage Foundation, of at least £9.90 outside of London and £11.05 in inner and outer London.  However, this does not apply to contractors.

The supermarket said: “Accrediting as a living wage employer would mean that a third party – the Living Wage Foundation – would decide our colleague pay changes each year. We believe it is right for the company and our stakeholders to make independent decisions regarding pay and benefits rather than have them determined by a separate external body.”

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