Sports Direct put 90% of staff on 'zero hour' contracts
Sports Direct may be wealthy enough to buy Newcastle and rename the stadium, however, they're not keen on looking after their staff with 9 out of 10 employed on 'zero-hour contracts', which means they have no guarantee of work from one week to the next.
This system means 20,000 shop floor workers are expected to be available whenever they're called upon, while at the same time, having no rights to sick pay or any holidays. They're given no notice about their hours and certainly aren't offered bonuses or anything like that.
The remainder of the staff get loads of lovely bonuses in the form of shares worth up to £100,000.
Chief executive Dave Forsey said: "The share scheme glues this company together. These schemes are typically only for the executives, but this goes deep into the company. I'm surprised more businesses haven't adopted something like this sooner."
An anonymous employee told a report by MPs: "The zero hours contract and casual contracts made me feel that all the power was with employer. It’s depressing and demoralising. I feel I have no rights and constantly question ‘why am I even bothering to work?’"
Alison McGovern, the Labour MP for Wirral South, said: "It seems quite bizarre that a company would on the one hand be awarding bonuses in this way, and treating other staff in a completely different way."
"I would want Sports Direct to see if there is a possibility of more fixed term contracts. It appears this has been imposed across the board and is inappropriate. How can there be any investment in employees, or training or progression? Lots of workers in retail start off part-time on the shop floor and rise to the top, but with zero-hour contracts there is no incentive at all."