Former Wilko employees win £2m payout following chain’s collapse

Around 10,000 former Wilko employees will share a pay out of £2m after winning a legal case.

A judgement at the Employment Tribunal ruled that the discount chain had failed to properly consult with workers before it went into administration in August 2023.

It means that around 9,000 former retail employees, who worked with 20 or more people, will receive four days pay, while roughly 1,100 who worked in a distribution centre or support centre role will receive 13 days pay, GMB Union said.

David Bartlett, former Wilko employee and GMB rep, said: “It has been a long, hard, slog getting this money – the very least Wilko workers deserve after the way they were treated.

“In no way will this make up for the stress and anxiety they faced during those dark days in 2023.

“But GMB hopes it will give them a much-needed boost as they move on with their new lives and careers.”

Wilko’s collapse led to the closure of 400 shops and 12,500 workers made redundant. The retailer’s brand was later rescued by The Range owner CDS Superstores.

Wilko’s administration was clouded in controversy after it emerged that its founding family had paid themselves £77m in dividends in the lead up to its collapse. It was later revealed that the retailer had a estimated £70.2m pension black hole following its collapse.

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