Tesco to reimburse thousands of underpaid staff
Tesco is to reimburse 140,000 current and former staff following an internal review of its reward systems.
The supermarket said the reimbursement for the majority of staff is expected to be up to £40.
During a review conducted during the implementation of a new payroll system, Tesco found the voluntary contributions made by some staff to benefits such as pensions, childcare vouchers and cycle to work schemes, led to errors that resulted in their pay after salary sacrifice not reaching National Living Wage levels.
The supermarket is now contacting affected staff who will receive their reimbursement payments by the end of March.
Matt Davies, UK and ROI chief executive at Tesco said: “As soon as our own review identified this issue we took immediate action to resolve it and establish which colleagues are affected.
“We’ve apologised to our colleagues and our priority now is to talk to them about how this affects them individually, and make any necessary payments. We expect payments to be up to £40 for the majority of affected colleagues.”
The total reimbursement costs are expected to be £9.7 million.
