Hundreds of Tesco employees are set to receive a salary boost by the end of the month, thanks to a £200 million investment by the UK’s largest supermarket chain. The pay increase will see shop workers and online fulfillment center staff getting a 5.1% raise, bringing their hourly wage to £13.28 starting March 29. In London, employees will see their hourly pay rise to £14.55, including a £1.27 allowance.
These changes align with the upcoming adjustments to the national minimum wage and living wage rates effective from April. Tesco’s wage hike will position their rates above the £12.71 minimum wage for employees aged 21 and over. Other major supermarket competitors have also recently announced pay raises for their workers. Sainsbury’s is implementing a 5% pay increase, bringing the hourly rate to £13.23 nationally and £14.54 in London. Similarly, Lidl has raised entry-level wages to £13.45 nationally and £14.80 in the capital.
Aldi is poised to become the top-paying supermarket in its category, with plans to increase pay for store assistants to £13.50 nationally and £14.88 in London starting in April. Ashwin Prasad, Tesco UK’s chief executive, expressed gratitude for the hard work of their employees, stating that the pay deal demonstrates their commitment to investing in staff compensation.
Tesco also announced intentions to introduce a new domestic abuse policy later this year, which will provide up to three days of paid leave for employees experiencing abuse. Daniel Adams, national officer for the Usdaw trade union, noted that the pay raise widens the gap between Tesco’s pay rates and the national living wage. He also praised Tesco for being the first retailer to promise paid leave to support employees facing domestic abuse, recognizing the positive impact this initiative could have on affected individuals.