Tesco, Sainsbury’s and Marks and Spencer’s are some of the UK high street shops under fire from shareholders over failing to pay all their staff a real living wage.
Led by responsible investment group Shareaction, the campaign criticises their lack of commitment to paying a fair wage to retailers including non-grocery companies such as Greggs, Next and B&Q Kingfisher, reported CityAM.
Today, the group is understood to be questing M&S at its annual general meeting why it has not paid its third-party contracted staff, like cleaners and security guards, adequate pay, despite reporting a profit of over £700m last year.
This also comes despite the upmarket grocer revealing it had raised its CEO’s pay by 75% this year.
Elsewhere, Shareaction is set to call upon Sainsbury’s at its AGM this week, to ask for all employees, including third-party contractors, to be paid the real living wage.
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Shareaction head of good work Dan Howard said: “Inadequate pay is a widespread issue in the retail sector, leaving many workers struggling to make ends meet, and with all sorts of negative knock on effects on businesses from high turnover rates to low productivity.
“It’s in these businesses’ interests to pay their staff a real Living Wage, which allows workers to afford the basic goods and services they need, from housing to food to bills.
“Crucially, we need to see companies accrediting as Living Wage Employers, which means they commit to paying all their staff a real Living Wage, including third-party contractors, now and into the future.”
Shareaction chief executive Catherine Howarth added: “The cost-of-living crisis has made it clear that pay inequality and in-work poverty are a blight on our society and urgently need tackling.
“Businesses paying the real living wage is vital to protect living standards for low-paid workers and serves the long-term interests of businesses, investors, and society.
“This is why we are calling on investors to use their influence as shareholders to steward companies in the right direction and ensure all workers receive the real living wage.”
Tesco, Sainsbury’s and M&S have been contacted for comment.
