Next has become the latest big corporate name to take issue with unvaccinated staff as the Omicron variant of COVID-19 pushes up absence rates.

The fashion-to-homewares retailer said on Thursday sick pay for unvaccinated staff who must self-isolate could be cut to the Statutory Sick Pay minimum rate of £96.35 a week.

The company stressed that unvaccinated workers who test positive for COVID would still receive its full rate of sick pay.

A spokesperson said: “It’s highly emotive but we have to balance the needs of the business with those of workers and shareholders.”

Next’s move follows a similar one by furniture retailer Ikea and signals a growing shift towards such policies in Europe which have been more prevalent in the United States.

Many US companies have been using vaccine requirements to protect employees and avoid operations being disrupted by mass staff absences.

Why is Next doing this?

COVID-19: Omicron takes out 3% of the workforce while a fifth of firms are hit by higher cancellations

Poundstretcher owner to explore sale in wake of ‘hugely successful’ restructuring

Tesco hails Christmas sales growth ‘despite growing cost pressures and supply chain challenges’

The firm is looking for ways to cut its cost base.

It warned last week that it saw prices rising by up to 6% to help account for a leap in its own bills.

The company put the blame partly on labour shortages pushing up wage demands.

Other factors included rising shipping and raw material costs.

Related posts:

BAE Systems hands Woodburn £2m pay rise after poaching bid Darktrace to launch £3bn float despite Deliveroo debacle ‘People don’t like commuting – so what?’ – Wall Street bosses take a dim view of working from home 2,000 gym jobs in balance as Virgin Active awaits ruling Gousto delivers Garrett-Cox as chair ahead of float Ministers plot search for new audit watchdog chair Soaring energy bills underlines continued reliance on dirty fossil fuels Business groups say NI hike will hold back jobs growth at crucial moment in recovery Morrisons warns of price rises ahead as half-year profits fall 43% House prices rising at fastest pace in 15 years on quarterly basis, says Halifax Tui warns on Omicron hit – but sees holidaymakers splash out on pricier breaks next year Government balancing on environmental tightrope as Shell plans more gas drilling in North Sea