A forthcoming review of working practices at Sports Direct will no longer be carried out by its legal adviser, RPC, the British retailer announced today.
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But now the retailer said that following “shareholder feedback” at its annual meeting, the review “will now be led by an independent party other than RPC”.
The retail chain has come under enormous scrutiny in the a year ago over workplace practices at its giant Shirebrook warehouse in Derbyshire, while a string of institutional investors have lined up to criticise the company’s corporate governance.
Ashley added that Sports Direct was not responsible for setting the minimum wage and if the government wanted companies to pay more than that, they should increase it.
Sports Direct moved to address concerns by offering casual retail staff guaranteed hours instead of zero hours contracts and ensuring all warehouse staff were paid above the national minimum wage following the initial review by RPC.
At the company’s recent AGM, Trade Union Share Owners tabled a resolution calling for the review, which was supported by the majority of independent Sports Direct shareholders.
He said: “You would be surprised how little I knew what was going on, and I think that is really where the failing was”.
Sports Direct may have taken the scenic route but the direction of travel looks better. Should I known more, yes?
“I’ve said sorry, I’ve said I’m going to fix it, and I will”. “People will say, ‘How can you have a plane when your workers are on minimum wage?'”
In the interview he also claimed that a cleaning lady at the firm had been paid a bonus of £80,000.
If the minimum wage would be the living wage, then the government who set the rules should set it at the living wage.
Sports Direct International (LON:SPD) has backed down on a plan to get its own lawyers to review its controversial working practices after investor criticism.
“We are pleased that the company has now seen sense”.
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In July, an MPs select committee said the retailer treated workers as “commodities” rather than human beings in a damning 37-page report.
