This week, both Tesco and Aldi made big investments in shop floor pay to help ease the burden of the cost-of-living crisis.
Despite awarding its staff the biggest pay rise in a decade early this year, the nation’s biggest supermarket has once again raised the basic hourly rate of pay in stores by 20p to £10.30 (or £10.98 in London), making a total 8% increase in pay this year.
Meanwhile, Lidl is set to become the ‘highest-paying supermarket in the UK’ after revealing plans to recruit over 1,000 new roles across stores and warehouses.
New recruits will earn a minimum of £10.90 an hour outside of London and £11.95 inside the M25; the highest starting pay of any other supermarket in the UK.
Retail Gazette compares what the UK’s biggest retailers pay store staff.
John Lewis/Waitrose – £10.75
Partners outside of London receive a minimum of £9.90 an hour, while those inside the M25 will receive at least £11.05.
Many partners are already paid above this – the average rate of non-management pay is around £10.75 per hour.
These base rates meet the current Real Living Wage and have been paid to staff since 1 April, 2022.
New employees working at Aldi are set to earn a minimum of £10.90 an hour outside of London and £11.95 inside the M25; the highest starting pay of any other supermarket in the UK.
Sainsburys – £10.50
Sainsbury’s has raised wages for the second time in less than six months after increased pressure from investors.
The supermarket said it will now pay the “Real Living Wage” for all staff, making it the first major supermarket to do so.
From 1 May, pay for Sainsbury’s workers in outer London will rise from £10.50 an hour to £11.05 an hour – the Real Living Wage level for London.
Lidl – £10.10
In November 2021, Lidl revealed that entry-level wages would rise from £9.50 to £10.10 an hour outside London, while those in the capital will get £11.30 compared to £10.85 previously.
Ikea – £10.10
At the end of 2021, Ikea was met with praise after announcing that staff would be paid at least £11.30 an hour in London and £10.10 in the rest of the country.
Tesco – £10.90
This week Tesco announced that from 13 November, the basic hourly rate of pay in stores will increase by 20p to £10.30 (or £10.98 in London), making a total 8% increase in pay this year.
At the beginning of 2021, Morrisons became one of the first supermarkets in the UK to break the £10 an hour minimum wage barrier as part of a new pay deal that started in April 2021.
M&S – £10.20
M&S revealed that from 1 October, over 40,000 colleagues will see their hourly pay increased to a minimum of £10.20 which follows an initial pay increase to £10 from £9.50 in April this year.
This is ahead of both the national and real living wage.
It represents an annual uplift of 7.4% and means a full-time customer assistant will earn over £100 more each month compared to October 2021.
Asda – £9.66
Asda confirmed it will increase hourly rates from £9.36 an hour to £9.66 an hour from the start of April this year while London workers will see their pay rise to £10.83.
The grocer has received backlash from many for not meeting the £10 mark like its competitors, but it argued before that its bonuses outshine some of the other stores.
Co-op – £9.30
Co-op gave all its staff a pay rise aligned to the real living wage back in 2020, in recognition of their hard work during the Covid-19 pandemic.
Retail staff are currently paid at least £9.30 per hour in the UK, and at least £10.30 in London.
Iceland – £9.00
Shop floor workers at Iceland currently receive £9 an hour, while workers in London earn £9.90. The supermarket pays this rate to employees of all ages, including new starters and its the same as The Food Warehouse.
Currys – £10.35
Currys has increased the hourly pay for its colleagues in the UK to help support them during the cost-of-living crisis.
From 30 October, the retailer‘s rates will increase by a further 3.5% to £10.35 per hour (£11.43 per hour in London), the third rise in the last 13 months.
Currys has increased base hourly pay by 15.6% in just over a year.