Trade union Unite has tabled a resolution accusing the supermarket of not preventing “harsh and divisive” conditions at its suppliers that in some cases, it claims ”verge on abuse”. It said it provided Tesco with evidence of these conditions but that the retailer has failed to act.

The resolution is being supported by a shareholder group, PIRC, and by one of Tesco’s larger institutional investors, the West Yorkshire Pension Fund.

Unite believes structural discrimination exists in many parts of the supply chain that provides meat to Tesco. It says agency workers, overwhelmingly migrants on poorer conditions of employment, are undercutting indigenous workers. It claims that there is a “mismatch” between Tesco’s policy commitments to supply-chain staff and the way they are applied in practice.

Shareholders will vote on whether to allocate a non-executive board member to share accountability for upholding basic human rights and international rights at work. The resolution also calls for Tesco to provide support for its meat suppliers to ensure equal treatment of workers and pick up the bill for the changes. But in its supporting statement, Unite said that this proposal “would not increase costs substantially” and said that use of agency workers was currently “inefficient”.

When contacted , Tesco denied it had been given evidence of worker exploitation. A spokesman said: “Our guidelines for suppliers go beyond the legal requirements and ensure that all workers are treated fairly and without discrimination.” The supermarket’s board has recommended shareholders to vote against the motion, meaning it has much less chance of success.

But Jack Dromey, Unite’s deputy general secretary, said: “The exploitation of migrant agency workers and undercutting of indigenous workers divides workplaces, damages community social cohesion and fuels racism.

“Tesco with Unite jointly commissioned an independent report proving a two-tier labour market in their supply chain. They then walked away from the table. We tried and failed to engage. Now, the evidence of structural discrimination is so strong that the independent EHRC is conducting its first statutory inquiry.”

The meat industry has been a particular focus for campaigners on the rights of migrant workers. The Equality and Human Rights Commission (EHRC) is currently conducting a statutory inquiry into the UK’s multi-billion pound meat industry in England and Wales for evidence of employment abuse and discrimination.

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