Clarks shelves pay cut plans to end warehouse strike

Clarks has agreed a deal to end an eight-week dispute at its warehouse in Somerset with Community, the union representing striking workers.

Employees were taking action over proposals to move staff to new contracts with pay cuts for many.

The deal will ensure that no union members earn less at the shoemaker.

A joint statement welcomed a resolution that "works in everybody's interests" and "protects Community members' livelihoods."

Community had objected to new contracts which would worsen pay and conditions for long-standing employees, and deliver a pay rise for more recent hires.

Some strikers told BBC Points West that the changes could leave them up to 20% worse off.

"Following an indicative ballot of Community members it is confirmed that normal working has resumed," the joint statement said.

Precise details of the agreement have not been disclosed.

Community criticised Clarks for using "fire-and-rehire" tactics, which have becoming increasingly controversial in recent months.

Clarks and Community thanked Acas for their help in reaching an agreement.

The shoemaker was hit hard by the pandemic, losing £172m in the year to 30 January 2021 as sales fell 44%.

The Clark family sold a majority stake to the Hong Kong-based private equity firm LionRock for £100m, losing control of the firm for the first time in nearly 200 years.