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By October 2026, Asda plans to move approximately 3500 cleaning employees to two external contractors (Bidvest and NIC Services). According to the supermarket, there are no plans to make any redundancies and that all those affected will be transferred in line with TUPE (which will legally ensure that their pay, terms and conditions of service are maintained when their employer changes).
Quick Facts
| Detail | Info |
| Workers affected | ~3,500 cleaning staff |
| New employers | Bidvest (North England & Scotland), NIC Services (South England) |
| Transfer deadline | 1 October 2026 |
| Staff notified | 11 August 2026 |
| Redundancies planned? | No |
| Legal protection | TUPE regulations |
| Previous outsourcing | ~1,700 security roles moved to Mitie (2026) |
What’s Going on?
Asda has said that it will transfer all of its cleaning in-store work to two specialist providers. The stores in the north of England and Scotland will be managed by Bidvest, with sites in the south of England being run by NIC Services. The move comes as the supermarket is seeking to invest in dedicated cleaning technology, such as robotic machines, steam cleaning trolleys and baskets and high-quality toilet hygiene.
This is not the first time Asda has been down this road. In a previous contract, around 1,700 in-store security jobs were contracted to Mitie earlier in 2026. The move is part of a trend of Asda jobs being moved out of the business, which has also seen the Tube stations and cinema moved out of the business.
What Does TUPE Mean for Asda Workers?
Affected employees are covered by the central protection in the Transfer of Undertakings (Protection of Employment) Regulations — commonly called TUPE. TUPE is particularly aimed at protecting employees where a service/business changes hands from one employer to another, in accordance with UK employment legislation.
Broadly speaking, TUPE for Asda workers means:
- Contract terms are carried over – rates, hours and holiday entitlement should be the same on day 1 with the new employer.
- Years of service at Asda are counted towards service at Bidvest or NIC Services, and service continues while at Asda.
- It is not possible to cut terms of employment the moment TUPE comes into effect (when the business is transferred).
In simple terms: an Asda cleaner with eight years’ experience does not begin with a clean slate. Their service experience and the existing contractual relationships follow them.
What Are the Risks?
Although TUPE offers good legal cover in theory, it has regularly been highlighted that the practicalities of outsourcing can change with time by employee rights organisations and unions. The GMB union has voiced criticism of Asda’s outsourcing plans, saying that outsourcing companies have a history of reducing pay and conditions after they are in a contract.
The union asked Asda to suspend the process, especially as other individual employment consultations are still under way at the supermarket.
After the initial transfer, the main issues for workers are:
- Whether shift patterns and/or rotas are used, and whether they may be altered or not.
- Long-term pension plans with new employers
- Whether future pay increases will be in line with those at Asda.
- The security of employment if contracts are reduced or renegotiated in the future.Security of employment if there is a reduction or renegotiation of contracts in the future.
Comparison: TUPE Protections vs Real-World Risks
| Factor | What TUPE Guarantees | What Can Change Over Time |
| Pay | There is the same rate as on the transfer date. | Further increases are subject to change. |
| Hours | These existing contract terms were safeguarded | Rotas and Schedules may change. |
| Holiday | Full entitlement is carried over | Following accrual policies can differ. |
| Length of service | Counted from the date Asda opened. | This is now a contract with applications accepted while the contract is in effect. |
| Job itself | At the point of transfer, protected | There is a risk of redundancy in the future. |
Are Asda Staff Concerned?
The truth is, it’s not happening immediately, but it’s fair to keep abreast of the situation. TUPE regulations are some of the strongest employee transfer protections in UK employment law. At the point of transfer, Asda workers’ pay and benefits should not change. But outsourcing is not long-term job security – employees who are sent to contractors are in a different situation than people who are directly hired by a large retailer.
The staff who will be impacted by the outsourcing of roles at Asda are recommended to:
- Ask Asda to write you a statement about what goes with you
- Find out if their pension scheme will stay the same or change
- If they are concerned about the process, speak to their union representative
- Know that they have the right to object, but this usually means that they will have resigned under UK law.
FAQs
Will the people working for Asda be made redundant when they outsource?
There will be no planned redundancies at this time. A transfer is expected to be offered to a total of 3,500 affected employees to either of the two companies, Bidvest and NIC Services, under TUPE.
Will new employers be able to reduce wages after transfer?
Not immediately. The TUPE legislation will not allow an employer to reduce the terms and conditions of a contract at the transfer. There is no long-term guarantee of further pay rises or benefits, however.
What if an employee does not want to transfer?
According to UK Employment Law, if the employee rejects the TUPE transfer, then the transfer will be deemed as resignation, and thus the employee is unlikely to qualify for any redundancy payment.
Is this legal according to UK Employment Law 2026?
Yes. It is a recognised type of TUPE-covered change where the service is outsourced using a workforce transfer. Asda has stated it is taking the “standard” TUPE process.
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