Supermarket chain Lidl has increased hourly pay for store and warehouse workers for the third time in a year.
These employees will an entry level rate of £13.55 an hour (and up to £13.85 with time) in London and of £11.40 an hour (up to £13) outside of the capital from 1 March. This represents an investment of more than £37 million, the company said.
Alongside a pay rise, workers will receive new bank holiday ‘premiums’ of £2 an hour, and a night shift premium of £3.50 an hour. The new rates will cover around 26,000 staff.
Lidl said the salary increase followed a successful Christmas period for the retailer, where sales grew by 12% year on year. The chain also won business from competitors over the festive period, gaining £116 million in consumer spend.
Lidl GB CEO Ryan McDonnell said: “Customers are switching to Lidl from every other supermarket, and it’s our colleagues’ commitment and performance that is making this happen.
“It’s only right, therefore, that we thank them for their incredible work and reward them for their efforts. Investing in our people is vital as we set our sights further on increasing our market share and bringing our high quality, great value products to even more households.”
Chief human resources officer Stephanie Rogers added that offering competitive rates of pay is crucial to the success of the business.
“This has always been central to our strategy, ever since opening our doors almost 30 years ago,” she said.
“I’m pleased that we are continuing to hold ourselves to our high standards and to reward colleagues with the highest rates of pay in the sector.”
Supermarkets are among the most competitive payers in a bid to attract and retain staff in a tight labour market.
Sainsbury’s upped its minimum pay to £12 an hour outside London at the start of this month, and £13.25 for those inside the M25.
Aldi’s rate will also go up at the start of February, to £13.85 for some store assistants working in the London area.
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