Sports Direct scraps zero hours contracts after barrage of criticism

Sports Direct has said that it will offer casual retail staff guaranteed hours instead of zero-hours contracts and ensure all warehouse staff are paid above the National Minimum Wage following a review into working practices at the retailer, reports The Independent.

The sportswear chain has been criticised by politicians and unions for paying workers less than the minimum wage and implementing “Victorian workhouse” conditions at its warehouses. Shareholders have attacked the embattled firm for poor corporate governance.

The company said on Tuesday it had distched its controversial “six strikes” disciplinary system, amid allegations of bullying, admitting that it “contributed at times to a hierarchical model that placed workers in an uncertain and difficult position.”

it had ordered its legal advisers to further review its working practices and would engage with shareholders over its corporate governance after coming in for a raft of criticism this year.

Sports Direct said on Tuesday it had requested RPC, its legal advisers, to lead a further comprehensive review of working practices.

“The review will also include examining the Company’s corporate governance, and as part of this process, the Board will engage with shareholders to obtain their views,” it said.