07/07/2008

Argos Workers Vote For Strike Action

Staff at four distribution centres run by catalogue retailer Argos have voted for strike action after rejecting a 4% pay offer.

The dates for a series of 24-hour strikes and then a four-day stoppage will be announced next week.

Unite the union has warned the Home Retail Group, owner of Argos, that they will "face severe disruption to their customer distribution service".

Argos distribution workers across the four key regional distribution centres at Basildon, Bridgwater, Heywood and Magna Park in Leicestershire will embark on the strike action.

It is understood that Home Retail Groups profits are up by 16% on last year's profits of £423 million, fuelling anger from workers and Unite.

Last year, Chief Executive Officer Terry Duddy was rewarded with a 58% increase in his salary package to take it to over £1.7 million.

Unite National Secretary, Jennie Formby, said: "Argos now faces severe disruption to their customer distribution service.

"Many distribution workers earn as little as £17,000 a year for doing back-breaking, essential work for this company. A below inflation wage is a pay cut and this is totally unacceptable to our members. They are already struggling to keep up with rising food and energy costs.

"This is a hugely profitable company and all our members are asking for is a fair share of the wealth they've worked so hard to create."

Unite say that Argos distribution workers are paid between £17,000 and £22,000 annually.

Inflation rose to 3.3% in May - above the government's target of 2%.

The wider Retail Prices Index measure climbed to 4.3%.

In the last financial year, Argos sales grew by 8% to £4.2 billion and it employed some 34,000 people across the business.

Argos serves over 130 million customers a year through its stores.

(DS)

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