Asda bosses warned payroll switch could cause problems, report claims
Asda’s bosses ploughed ahead with a transition onto a new payroll even though they were warned that doing so could risk thousands of workers being paid incorrectly, a report has claimed.
Senior executives at the firm were told that moving onto the new system would result in problems that have subsequently affected 30,000 staff, some of whom were underpaid by hundreds of pounds, The Sunday Telegraph reported.
Problems around the IT transition first arose last month, when thousands of staff got irregular payments, prompting thousands of complaints and some store managers needing to make £200 petty cash payments to affected staff. Similar, albeit less pervasive, issues plagued the company at this month’s payday.
It was reported that Mohsin Issa, one of the two brothers that owns Asda, was responsible for overseeing the payroll technology transition.
A spokeswoman for Asda told City PM: “The first payroll run with a large-scale systems migration rarely passes without any issues… We unreservedly apologise to those impacted and continue to work with colleague representatives, including our unions, to rectify any outstanding issues …
“For the April payroll, Asda can confirm that the number of payroll queries was significantly reduced.”
brothers Mohsin and Zuber Issa are believed to have fallen out, with Zuber stepping back from the business and close to selling his stake.