Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Zero hoursEmployment lawEmployment contracts

Sports Direct zero hours compensation claims could cost up to £10 million

by Jo Faragher 4 Feb 2015
by Jo Faragher 4 Feb 2015 Photo: REX/London News Pictures
Photo: REX/London News Pictures

Almost 300 Sports Direct employees are to make a claim against the company after they were excluded from a bonus scheme because they were on zero hours contracts.

Zero hours contracts – XpertHR resources

The zero hours contract problem: which political party holds the solution?

Zero hours contract clause

How to employ an individual on a casual or zero hours contract

Individual claims are thought to be worth around £36,000 each, although the highest could be worth more than £100,000, it has been reported. In total, it could face costs of almost £10 million if the claims are successful.

The employees were excluded from a bonus scheme that paid out around £160 million in shares to 2,000 of its permanent workers in 2013.

A group of around 30 workers will be the first to seek compensation, having approached law firm Leigh Day, which has also acted on behalf of Asda workers on equal pay claims.

The lawyers claim that the Sports Direct employees on the zero hours contracts are due more than £1 million in compensation after missing out on the bonuses. All of them have a minimum of five-and-a-half years’ employment at the company, despite being on the controversial contracts.

A further 268 workers have approached workers’ rights group Pay Justice to seek compensation on their behalf, and are thought to have worked for the company for even longer.

This is not the first time the sports retailer has come under scrutiny for its hiring practices. Last October, it was forced to rewrite all job adverts and employment contracts after an employee brought a claim for sex discrimination, unfair treatment and entitlement to holiday pay.

Zahera Gabriel-Abraham claimed she and hundreds of others at the company were receiving less fair treatment because they were not able to guarantee work hours under zero hours contracts. Sports Direct settled out of court.

Zero hours arrangements have become a key political focus for both the coalition Government and the opposition, and the debate will continue to heat up in the run-up to the general election, as XpertHR consultant editor Darren Newman discusses here.

The Department for Business, Innovation and Skills has banned exclusivity clauses as part of its Small Business, Enterprise and Employment Bill, meaning that workers are not tied in to one employer if they feel they are not getting enough guaranteed hours.

Meanwhile, Labour leader Ed Miliband has vowed to put an end to the exploitation of workers on zero hours contracts, but has not proposed a total ban.

Jo Faragher
Jo Faragher

Jo Faragher has been an employment and business journalist for 20 years. She regularly contributes to Personnel Today and writes features for a number of national business and membership magazines. She won the Willis Towers Watson HR journalist of the year award in 2015 and has been highly commended twice.

previous post
Do Tory plans strike a blow against industrial action?
next post
The zero hours contracts problem: which political party holds the solution?

You may also like

Bolt drivers strike as union launches workers’ rights...

15 Jun 2022

Care workers to strike over ‘cruel’ fire and...

10 Jun 2022

Oxford study highlights best gig economy firms to...

9 Jun 2022

Tesco appeal against fire and rehire ban to...

8 Jun 2022

Four-day week trial begins today

6 Jun 2022

Bank holidays: six things employers need to know

5 Jun 2022

Top 10 HR questions May 2022: Bank holidays

1 Jun 2022

P&O Ferries boss denies reputational damage after mass...

27 May 2022

Employers lack data to make IR35 worker status...

25 May 2022

Maternity leave: Cost of living crisis highlights need...

25 May 2022
  • NSPCC revamps its learning strategy with child wellbeing at its heart PROMOTED | The NSPCC’s mission is to prevent abuse and neglect...Read more
  • Diversity versus inclusion: Why the difference matters PROMOTED | It’s possible for an environment to be diverse, but not inclusive...Read more
  • Five steps for organisations across the globe to become more skills-driven PROMOTED | The shift in the world of work has been felt across the globe...Read more
  • The future of workforce development PROMOTED | Northumbria University and partners share insight...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+