// Tesco to give all shop floor and warehouse staff a pay rise to £9.55 per hour
// This is a rise of 2.7%. Previously it was £9.30 per hour
// The new wage will apply to shopworkers & those who work in fulfilment centres as part of a one-year deal
Tesco has announced a new pay deal for staff working on the shop floor and in customer fulfilment centres.
The Big grocer confirmed a 2.7 per cent pay rise for staff paid hourly rates, taking their wage from £9.30 to £9.55 per hour.
The new rates will come into effect from September 5 as part of a one-year deal.
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The deal will also see night premium payments for eligible staff rise 4.1 per cent from the current rate of £2.21 to £2.30.
Tesco had consulted with union reps from Usdaw to develop the new pay packet.
In its announcement today, the supermarket said its hourly rate has increased by 29.2% since July 2014.
“We’re delighted we have been able to reach this agreement giving our colleagues a well-deserved pay increase,” Tesco UK chief executive Jason Tarry said.
“Over the last year our colleagues have gone above and beyond to continue to serve our customers throughout the pandemic.
“Together with our other colleague benefits, it makes our total reward package more competitive than ever before.”
The announcement comes amid an ongoing legal battle regarding equal pay for Tesco shopworkers.
Last week, the European Union Court of Justice ruled that pay conditions for Tesco shopworkers can be compared with those of distribution staff, in a blow to the Big 4 giant.
The ruling means the grocery giant now faces the prospect of a £2.5 billion bill after the court ruled that EU rules guaranteeing equal pay for male and female workers can be invoked in the dispute over pay.
Thousands of shopworkers, most of whom are women, have accused Tesco of paying them up to £3 less per hour than warehouse workers, who are mostly men.
The court said the legal test for comparability was one of three tests involved in the case, which could still take years to conclude.