Workers handling freight for Tesco, Argos, John Lewis and Amazon ‘stabbed in back’ over bare minimum redundancy terms

Dewsbury warehouse workers being made redundant by multi-billion-dollar logistics firm RXO are facing bare minimum severance terms despite decades of service.

RXO is closing its Shawcross warehouse, which provides freight services for Tesco, Argos, John Lewis and Amazon to cut costs.

While HGV drivers at the site are being offered enhanced redundancy terms, warehouse and other staff are being offered statutory redundancy, despite some of them working there for more than 30 years.

Unite general secretary Sharon Graham said: “RXO’s betrayal of these loyal and longstanding workers is absolutely disgusting and is nothing more than naked corporate greed. Unite will continue to apply maximum pressure on the company to treat these workers fairly.”

Around 70 workers, who were transferred to RXO when it took over the company from UPS in 2024, are being made redundant.

Around a third of the workers are HGV drivers who are being offered enhanced redundancy packages, while the rest are being offered the statutory minimum.

RXO says non-drivers are not entitled to enhanced redundancy under the terms of the Transfer of Undertakings Protection of Employment (TUPE) from UPS, even though in previous redundancy rounds the company offered non-drivers enhanced packages.  

Unite regional officer Jessica Sangha said: “RXO’s behaviour towards these dedicated workers is nothing less than a stab in the back. Not only are they being made redundant but RXO, which brings in billions of dollars, is refusing to provide redundancy terms that it has offered to drivers and previously offered to non-drivers.

“RXO’s clients Tesco, Argos and John Lewis will not be happy that they are associated with a company that treats its staff so badly. Unite will not rest until the company comes back to the table with a reasonable offer.”

ENDS

For media enquires ONLY contact senior Unite communications officer Ryan Fletcher on 07849 090215 or 020 3371 2065.

Email: ryan.fletcher@unitetheunion.org

Unite is Britain and Ireland’s largest union with members working across all sectors of the economy. The general secretary is Sharon Graham.