COMP NEWS – Britain’s largest retailer is giving its workers a 9.1% pay bump after striking a deal with the USDAW shopworkers’ union.
LONDON, March 5 (Reuters) – Tesco (TSCO.L), Britain’s biggest retailer, said on Tuesday it would raise store workers’ hourly pay by 9.1%, in a move that reflects the increase in the government-mandated minimum wage.
The supermarket group, one of the country’s largest private sector employers , said a deal struck with shopworkers’ union USDAW means hourly base pay will rise from 11.02 pounds ($13.98) to 12.02 pounds from April.That is ahead of the government’s national living wage, which will increase by 9.8% to 11.44 pounds an hour.
Worker wages in Britain are beginning to rise ahead of rising inflation, an issue that has severely affected the country for over a year.
Worker wages in Britain have only recently begun outpacing inflation, which held steady at 4% in January, still double the central bank’s target of 2%.Sainsbury’s(SBRY.L), Britain’s second biggest supermarket group, announced a 9% pay rise for its workers in January, with an hourly rate of 12 pounds from March.The No. 3 player, Asda, last week announced an 8.4% hike. However, its increase to 12.04 pounds an hour will not take effect until July.
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