CHESHUNT, England, 2016-Feb-02 — /EPR Retail News/ — Tesco has announced a pay increase of up to 3.1% for colleagues working in its stores across the UK, taking the hourly rate of pay for all established colleagues to £7.62 per hour.
The two year deal includes an increase in the base rate of pay for all store colleagues and will mean established colleagues will receive significantly more than the Government’s new National Living Wage of £7.20 per hour.
The increase will see Tesco colleagues continue to benefit from one of the highest pay and benefits packages in retail, which includes pension, colleague discount and a 5% turnaround bonus. The pay increase will come into effect on 3 July 2016 and will apply to colleagues of all ages.
Tesco worked with union, Usdaw and colleague representatives to agree the deal.
As part of the package, Tesco has also introduced a simpler and fairer approach to premium payments. All colleagues will receive time and a half for Sunday and bank holiday shifts from July this year.
Any colleagues negatively impacted by the changes will be supported with a lump sum transition payment worth 18 months of the difference in pay.
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 approach to premium payments.
“As well as an increase in pay which puts our hourly rate well above the Government’s National Living Wage, we remain absolutely committed to rewarding our colleagues with a pay and benefits package they really value, including a pension, colleague discount and 5% turnaround bonus.
“I’d like to thank colleagues for their customer focus, passion and hard work in serving our customers a little better every day.”
For more information please contact the Tesco Press Office on 01707 918 701
We are a team of 480,000 in 11 markets dedicated to serving shoppers a little better every day.