Amid the legal row over whether its shop floor workers and distribution staff should be paid equally, Tesco has announced a new pay deal for all its hourly-paid employees.
Staff in both its stores and customer fulfilment centres (CFC) will have their hourly rates increased by 2.7% from £9.30 to £9.55 on 5 September 2021.
The group said that the one-year, above-inflation pay deal had been developed in partnership with the Usdaw union and reflected staff demand for higher basic hourly rates.
Like some other supermarket chains, Tesco made additional bonus payments to its staff during the pandemic. The group said it was pleased to share a further investment in base salary.
Jason Tarry, Tesco UK CEO, said: “We’re delighted we have been able to reach this agreement giving our colleagues a well-deserved pay increase. Over the last year our colleagues have gone above and beyond to continue to serve our customers throughout the pandemic. Together with our other colleague benefits, it makes our total reward package more competitive than ever before.”
Last week, Tesco vowed to “strongly defend” its right to pay thousands of shop and distribution centre staff different rates, despite a landmark EU ruling.
NAM Implications:
- As with initiating their refund of government aid…
- …this Tesco move will pile pressure on retail rivals.
