A group of 130 former employees at VK Garment Factory in Thailand are suing the supermarket and auditing specialists Intertek.
The workers, represented by law firm Leigh Day in the UK, claimed that they were paid up to £4 a day, working seven days a week, and “trapped in a cycle of forced labour and debt bondage”.
VK Garment Factory, which is located in Mae Sot, employs a workforce of predominantly Burmese migrant workers.
The legal claim said that the unlawful practices were not identified, despite both Tesco and Intertek carrying out audits at the factory.
Tesco conducted operations in Thailand from 1998 to 2020 but sold its Thai and Malaysia interests for £8bn at the end of 2020.
“Any risk of human rights abuses is completely unacceptable, but on the very rare occasions where they are identified, we take great care to ensure they are dealt with appropriately, and that workers have their human rights and freedoms respected.
“The allegations highlighted in this report are incredibly serious, and had we identified issues like this at the time they took place, we would have ended our relationship with this supplier immediately. We understand the Thai labour court has awarded compensation to those involved, and we would continue to urge the supplier to reimburse employees for any wages they’re owed.”