Tesco has recently announced a 3.1 per cent pay hike for all its UK stores employees. The hourly pay rate has gone up to £7.62 per hour.
This rate is significantly higher than the Government’s new National Living Wage of £7.20 per hour.
This pay hike is being seen as one of the highest pay and benefits packages in retail that will benefit Tesco employees. The deal will come into force from July 3, and will be valid for all employees across all ages.
Matt Davies, Tesco-UK and ROI CEO said, “We’ve spent a lot of time working with Usdaw and colleague representatives to understand what’s important to colleagues. Together, we’ve agreed one of the highest pay and benefits packages in retail for store colleagues, and introduced a simpler and fairer pay structure, including one appr
oach to premium payments.” He added, “I’d like to thank colleagues for their customer focus, passion and hard work in serving our customers a little better every day.”
This is a two-year deal, jointly chalked out by Tesco, union, Usdaw and colleague representatives. Apart from the increase in base pay, the package comprises numerous benefits including, pension, colleague discount and a 5 per cent turnaround bonus. Tesco has also made amendments regarding the premium payments and also given other perks like time and a half for Sunday and bank holiday shifts.
The company has also made clear that if any employee is negatively impacted, then they will be supported with a lump-sum transition payment, worth 18 months of the difference in pay.
