Supreme Court blocks Tesco appeal in equal pay case

Thousands of shop workers' claim worth a potential £4bn to proceed to trial

By LineZotpaper

Published23 October 2026

Read Time2 min

The Supreme Court has rejected Tesco's application to appeal a key ruling in a long-running equal pay claim brought by more than 16,000 shop workers, allowing the case to advance to trial under the employment tribunal's established methodology.

The Supreme Court has blocked Tesco from appealing a central ruling in an equal pay dispute that dates back to 2018. The case, brought by law firms Harcus Parker and Leigh Day on behalf of around 16,000 retail employees, alleges that Tesco underpays its store workers, who are predominantly women, compared with distribution centre workers, who are mostly men. The claim is reportedly worth a potential £4bn.

The legal battle is one of several similar actions against UK supermarkets including Asda, Next, Sainsbury's, Morrisons and the Co-Op. In Tesco's case, the claims were divided into three stages. The dispute centred on whether the employment tribunal could use generic training documents rather than individual daily duties to define 'work' at the hearings. Tesco appealed through the Employment Appeal Tribunal and the Court of Appeal, which partially allowed the company's appeals but rejected its main argument that the tribunal's overall methodology should be overturned.

The retail giant then sought permission to appeal to the Supreme Court, which refused the application earlier this month. Kiran Daurka, employment partner at Leigh Day, said: "This is a significant outcome for the 16,000 Tesco workers we represent and brings Tesco's challenge on this issue to an end." He added, "We remain focused on securing equal pay for our clients in the wider litigation." Tesco was approached for comment by City AM but none was reported at the time of publication.

Separately, last month Next won an appeal in its own equal pay case, allowing the retailer to pay warehouse workers more than store staff. The Employment Appeal Tribunal overturned an earlier ruling, citing recruitment and retention pressures that do not apply to sales workers. Next had warned that losing the case "would have represented a hammer blow to retail employment in the UK".

Analysis

Why This Matters

The ruling clears the way for a trial that could set a precedent for equal pay claims across the UK retail sector, affecting tens of thousands of workers.
The potential £4bn liability underscores the financial risk for supermarkets if courts find in favour of shop-floor staff.
The decision comes alongside a mixed legal landscape: Next's recent win shows that retailers can still defend differentials on grounds of market pressures, making the outcome of the Tesco trial crucial.

Background

Equal pay law in the UK requires that men and women receive equal pay for equal work or work of equal value. The series of claims against major supermarkets began around 2018, with law firms arguing that mostly female shop-floor roles such as shelf-stackers and checkout staff are of equal value to mostly male distribution-centre roles. The cases have moved through multiple appeals, with procedural disputes over how 'work' is defined and compared. The Supreme Court's refusal to hear Tesco's appeal means the substantive trial can now proceed using the employment tribunal's chosen methodology.

Key Perspectives

Shop workers and their representatives: The claimants argue that paying predominately female retail staff less than predominately male warehouse workers for work of equal value is unlawful. Leigh Day's statement welcomes the rejection of Tesco's appeal as bringing a key procedural challenge to an end. Tesco: The supermarket has argued that the employment tribunal's use of generic training documents to define 'work' is inappropriate, preferring to rely on individual daily duties. Its previous partial successes at the Employment Appeal Tribunal and Court of Appeal did not overturn the broader methodology. Other retailers: The sector is watching closely. Next's recent victory shows that arguments based on market forces and recruitment retention can succeed, but the Tesco case will test the limits of that defence.

What to Watch

The trial date and any preliminary hearings in the Employment Tribunal.
Whether other supermarkets facing similar claims seek to settle or fight.
The Court of Appeal's judgment in the Next case, which could be further appealed, shaping the legal landscape for all equal pay claims.

Sources

Top court rejects Tesco appeal in ‘equal pay’ case · City AM

Checked

12 claims in this story checked against 1 source: 10 supported.

Show each claim

SupportedThe Supreme Court blocked Tesco from appealing a key ruling.City AM: “The Supreme Court has blocked Tesco from appealing a key ruling in a long-running equal pay claim”
Partly supportedThe shop workers’ claim is worth a potential £4bn.City AM: “It is reportedly worth a potential £4bn.”
SupportedThe Tesco case involves more than 16,000 shop workers.City AM: “a long-running equal pay claim brought by more than 16,000 shop workers”
SupportedThe case will proceed to trial under the employment tribunals’ established methodology for defining work.City AM: “As a result, the case will proceed to trial under the Employment Tribunals’ established methodology for defining ‘work’.”
SupportedThe Tesco case was launched in 2018 by Harcus Parker and Leigh Day.City AM: “The case, launched in 2018 by claimant-focused law firms Harcus Parker and Leigh Day”
SupportedThe claim alleges Tesco underpays store workers, mainly women, compared with distribution centre workers, mostly men.City AM: “over allegations that it underpays its store workers, mainly women, compared with distribution centre workers, who are mostly men.”
SupportedThe Employment Appeal Tribunal and Court of Appeal partly allowed Tesco’s appeals but rejected its main argument against the tribunal’s overall methodology.City AM: “Both the Employment Appeal Tribunal and the Court of Appeal partially allowed Tesco’s appeals, but both rejected its main argument that the Tribunal’s overall methodology should be overturned.”
SupportedKiran Daurka said the outcome was significant for the Tesco workers represented and ended Tesco’s challenge on this issue.City AM: ““This is a significant outcome for the 16,000 Tesco workers we represent and brings Tesco’s challenge on this issue to an end.””
SupportedDaurka said Leigh Day remained focused on securing equal pay for its clients in the wider litigation.City AM: “He added, “We remain focused on securing equal pay for our clients in the wider litigation.””
Partly supportedTesco was approached for comment by City AM, and no comment was reported by publication time.City AM: “Tesco was approached for comment.”
SupportedLast month, Next won an equal-pay appeal, allowing it to pay warehouse workers more than shop-floor staff.City AM: “Last month, retail giant Next won an appeal in its equal pay case, allowing it to pay warehouse workers more than shop-floor staff”
SupportedNext warned that its defeat “would have represented a hammer blow to retail employment in the UK”.City AM: “and warned that its defeat “would have represented a hammer blow to retail employment in the UK””