Asda managers left in the dark over bonus cuts

Asda managers only found out about the supermarket’s decision to scrap their annual bonuses when the news broke in the media, sources have told Retail Gazette.

The supermarket giant has reportedly scrapped its bonus scheme for more than 10,000 managers due to underperformance, with the news first emerging in The Telegraph earlier this week.

However, multiple store managers said they were not informed before the public announcement, with one manager describing the move as “a kick in the teeth.”

One South Wales-based Asda manager told Retail Gazette: “We knew deep down we probably weren’t getting a bonus this year, but it was used as a stick to beat us with during appraisals—hitting targets, being told we needed to perform to earn it. Then to find out through the media, without anything being said in-store, is an absolute joke.”

One manager said that because bonuses are part of their overall wage package—often accounting for thousands of pounds—scrapping them effectively amounts to a pay cut.

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News of Asda reportedly scrapping its bonus scheme follows at a difficult period for the supermarket, which recently reported its worst Christmas performance since 2015 alongside executive turnover and a shrinking market share.

The supermarket is currently undergoing a senior management restructuring under executive chairman Allan Leighton, which has already led to the departure of 13 regional managers – which the grocer confirmed would be followed by further cost-cutting measures.

For store-level management, however, the bonus decision has only deepened frustration.

“The timing makes it worse,” one Asda manager said. “The bonus was due in two weeks, so to be kept in the dark until now feels like a huge lack of respect.”

The decision has also raised concerns about retention, with some managers reportedly considering leaving the company. One industry recruiter told The Telegraph that missing out on bonuses could lead to “anarchy” in stores.

A spokesperson for Asda declined to comment.

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