British grocery retailer Sainsbury’s will award 137,000 colleagues working in stores across the country a pay increase of 4 per cent, taking its standard rate of pay to £7.36 per hour.
It is the highest pay increase for store colleagues that the company has awarded in over a decade, and it takes pay for store colleagues above the government’s new national living wage.
The move compares favourably to the government’s new national living wage of £7.20 per hour for workers over the age of 25 by April 2016.
Sainsbury’s says that it will not differentiate between over- and under-25s, with the new hourly rate of £7.36 applying to more than 40,000 colleagues under the age of 25.
Sainsbury’s also pays staff for the breaks they take during their shifts, while other benefits include a pension, life insurance, a discount card and an annual bonus. This year, 133,000 colleagues shared a bonus pot of £50 million.
Speaking on the pay rise, Sainsbury’s CEO, Mike Coupe, said, “We’re delighted to announce a 4-per-cent pay increase for the colleagues who work in our stores across the country. We know what a difference they make to our customers each and every day, and we’re totally committed to rewarding them well for the great service they provide."
He added that he talked to staff, who told him that they value their package of benefits and the flexibility that the supermarket chain can offer as an employer, as well as hourly pay, which has always been over the minimum wage.
"Their hard work, talent and dedication have been central to our success and will remain so in the future.”
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