Sainsbury’s introducing new £12 rule in March

In a generous post-Christmas reward, Sainsbury’s has announced a 5 per cent pay hike for its workforce.

The retail giant observed that its customers were “shopping late and [buying] record volumes in the days ahead of Christmas”, which resulted in a 3.8 per cent increase in grocery sales during the six weeks leading up to 4 January.

Additionally, its Argos chain experienced a 1.1 per cent rise in sales over the same period.

Sainsbury’s is set to implement the 5% salary increase for its 118,000 employees in two stages – initially raising the minimum wage to £12.45 an hour from March and subsequently to £12.60 in August, as part of its strategy to “navigate a challenging cost environment”.

By August, the pay rate for hourly-paid staff will have soared by 58 per cent since 2018. This year’s split increase allows Sainsbury’s to tackle the tough inflationary climate while continuing to lead the sector in rewarding its dedicated staff.

Simon Roberts, Chief Executive of Sainsbury’s, expressed: “Our people are fundamental to achieving our Next Level Sainsbury’s plan and we are pleased to announce that we will raise pay for our hourly-paid colleagues by five per cent in the year ahead, split into two separate increases to help manage a particularly tough cost inflation environment.

We believe in rewarding our colleagues well for delivering leading service and productivity and we will be the best paying UK grocer from March.”

Paddy Lillis, the Usdaw General Secretary, lauded the partnership with Sainsbury’s, stating: “Usdaw has a longstanding and valued relationship with Sainsbury’s and we welcome the staff pay increase in line with new real living wage rates.

Our members are key workers in the business and it is only right they are fairly rewarded with a living wage.”, reports .

In similar support, Usdaw National Officer Bally Auluk remarked: “The working relationship between Usdaw and Sainsbury’s continues to strengthen, and we are pleased that the company has again worked closely with our Union’s representatives, during the recent pay consideration meeting.

The business has decided to make a pay award totalling 5 per cent, despite lower inflation rates than last year and following on from previous significant pay increases.

The continues to be a key concern for our members, so the business’ decision to respond in such a positive manner, by matching the Real Living Wage once more, is a welcome one for our members.”