A MAJOR supermarket will give thousands of workers a pay rise from April.
Tesco is increasing hourly rates for retail staff by 7%.
GettyThousands of Tesco staff will get a pay boost from April 6[/caption]
The hourly pay rate for the store staff will rise by 72p, from £10.30 to £11.02 on April 2.
This represents the third pay increase for Tesco workers in the last 10 months.
The pay boost will cost Tesco more than £230million.
Tesco will also continue to provide staff with free food in store canteens, a salary advance scheme and a discount of up to £1,500 a year off their shopping.
Tesco is also introducing two new London allowance areas – giving workers in this region an even greater pay boost.
Staff based in London Boroughs will get an extra allowance on top of the pay rise worth 93p per hour, taking their basic pay plus location pay to £11.95.
For workers in Outer London (inside the M25 but excluding London Boroughs), their allowance will increase to 73p per hour, taking their basic pay plus location pay to £11.75.
Tesco’s pay rates exceed the national living wage which currently stands at £9.59 an hour for those aged 23 and over.
Jason Tarry, Tesco UK & ROI chief executive 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.”
Tesco last announced a round of pay rises in October.
From November 13, the basic hourly rate of pay in Tesco stores increased by 20p to £10.30, and to £10.98 for those in London.
The shopworkers’ union USDAW welcomed today’s announcement of another round of pay rises.
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.”
Tesco isn’t the only supermarket upping pay rates.
Around 115,000 Asda staff will see their pay go up from April 2 to £11.
Currently, Asda pays staff £10.10 per hour.
A second pay rise will then follow from July 2, giving £11.11 per hour.
It came after Aldi said in January that it would give 7,000 of its warehouse staff a 20% pay increase.