Tesco staff get £116m windfall

More than 37,000 Tesco staff will share in a £116m windfall after two of the
company’s save-as-you-earn (SAYE) schemes mature.

Tesco employees, ranging from checkout assistants to managers, have been
saving between £5 and £250 a month for either three or five years.

Those saving the maximum £250 will net £49,000 each, a 183 per cent return
on the five-year investment. Employees who saved £10 a month over five years
will see their investment shoot from £690 to £1,953.

Tesco has been running SAYE schemes for 21 years. The most recent three- and
five-year schemes offered in October 2001 attracted more than 63,000
applicants, a quarter of Tesco’s UK-based staff.

Clare Chapman, group HR director at Tesco, said: "It is a great win-win
situation for staff and Tesco. We are trying to give staff every opportunity to
share in the company’s success."

Chapman said the company has built on the success of its SAYE initiative by
launching a buy-as-you-earn scheme three months ago, which allows employees to
buy shares at favourable rates.

"Staff loved the SAYE scheme so Tesco launched its BAYE scheme. Tesco
values its staff and recognises that they are diverse. This success makes a
difference when it comes to recruitment, retention and morale," she said.

By Paul Nelson

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