Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

RetailCollective bargainingLatest NewsTrade unionsPay & benefits

Tesco store pay to increase 7% to £11.02 per hour

by Ashleigh Webber 20 Feb 2023
by Ashleigh Webber 20 Feb 2023 Tesco store pay will increase to £11.02 per hour
Image: Tesco
Tesco store pay will increase to £11.02 per hour
Image: Tesco

Tesco will increase store workers’ pay by 7%, its third pay increase for this group of employees in the past 10 months.

The retailer has reached an agreement with Union of Shop, Distributive and Allied Workers (Usdaw) to increase workers’ pay from £10.30 to £11.02 from 2 April 2023.

The deal takes store employees’ pay above, or at, the voluntary Living Wage Foundation rate.

The agreement also sees the creation of two new London allowance areas, to reflect the additional costs people in certain parts of the capital face. Those in London boroughs will see their location allowance will increase to 93p per hour, taking their basic pay plus location pay to £11.95, while staff inside the M25 but not a London borough will receive a 73p increase to their allowance, taking their basic pay plus location pay to £11.75 per hour.

Pay settlements

Double-digit inflation persists

National living wage projected to reach £11.08 in 2024

Shift leaders will also see their additional skills payment increase by 40p per hour to £2.26, meaning their hourly rate excluding any location premium will rise to £13.28.

Tesco will keep Sunday premiums in place for staff who joined the company before 24 July 2022, but the rate will be reduced from 25% to 17%.

Tesco UK and Ireland CEO Jason Tarry said: “For the second year in a row, we have made a record single-year investment in base pay for our colleagues. We know that many colleagues have felt the pressure of rising costs this year, and we are absolutely committed to supporting them with competitive base pay and exclusive colleague benefits. This agreement recognises the incredible work and dedication our teams show every day in serving our customers.”

Daniel Adams, Usdaw national officer said: “This deal, which follows earlier agreements with the union on additional investment outside of the normal annual negotiations and bringing of the 2023 pay negotiations forward, represents a significant step forward for pay within Tesco retail.

“It represents a third increase in pay in 10 months and ensures that the business continues to respond positively to the significant pressures our members face. Furthermore, it demonstrates the value of employers engaging constructively with trade unions at this incredibly difficult time.”

Several major supermarket chains have increased workers’ pay multiple times over the past year. Aldi increased store colleagues’ pay by up to 15% from the beginning of this year, with wages starting at £11 an hour, while Sainsbury’s also upped workers’ pay to £11 an hour from February.

HR roles in retail and wholesale on Personnel Today


Browse more HR roles in retail and wholesale

Tesco
Ashleigh Webber
Ashleigh Webber

Ashleigh is editor of OHW+ and HR and wellbeing editor at Personnel Today. Ashleigh's areas of interest include employee health and wellbeing, equality and inclusion and skills development. She has hosted many webinars for Personnel Today, on topics including employee retention, financial wellbeing and menopause support. Prior to joining Personnel Today in 2018, she covered the road transport sector for Commercial Motor and Motor Transport magazines, touching on some of the employment and wellbeing issues experienced by those in road haulage.

previous post
Psychological safety pioneer lands new academic wellbeing role
next post
Junior doctors vote for 72-hour strike

Leave a Comment Cancel Reply

Save my name, email, and website in this browser for the next time I comment.

You may also like

Union says Amazon pay rise is ‘insulting’

23 Mar 2023

Pay awards expected to drop back to 5%

22 Mar 2023

Nurses and midwives in Scotland accept new NHS...

21 Mar 2023

Campaign group urges health workers to reject NHS...

20 Mar 2023

Teachers strikes paused as unions begin talks with...

17 Mar 2023

Aldi gives store assistants another pay rise

17 Mar 2023

NHS pay deal confirmed: Strikes suspended as unions...

16 Mar 2023

University staff consider new offer but strikes continue

15 Mar 2023

UK workers would share salary to improve pay...

13 Mar 2023

Teachers in Scotland accept pay deal, ending strike...

10 Mar 2023

  • Sodexo Engage – Mountain of lost benefits ebook PROMOTED | Help your people feel the impact of your benefits...Read more
  • Neurodiversity: How to make the workplace more inclusive (webinar) WEBINAR | Can your organisation truly be inclusive...Read more
  • How HR can facilitate internal talent mobility PROMOTED | Should internal talent mobility be a priority...Read more
  • Bereavement in the workplace: How training can help HR get it right PROMOTED | HR professionals play an essential role...Read more
  • UK workforce mental wellbeing needs PROMOTED | The mental wellbeing support employers are providing misses the mark...Read more
  • The Workplace Today Guide: Why it pays to support your staff’s financial health PROMOTED | The cost of living crisis has hit...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2023

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2023 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+