Lidl, the supermarket chain, has pledged to pay 9,000 of its UK workers at least the full living wage from October.
The pay rise will cost Lidl £9m and push its minimum pay beyond the recommendation of campaign group Living Wage Foundation which says employers should pay an hourly rate of £7.85 – and £9.15 in London.
Lidl says the new policy amounts to an average pay rise of £1,200 a year, with all UK employees earning at least £8.20, moving up to £9.35 in London. The chain’s employees currently receive £7.30 an hour, with workers in the English capital seeing £8.03.
The figures are greater than those of the government’s mandatory National Living Wage (NLW) – £7.20 an hour for workers aged 25 and over. NLW will be rolled out from the start of the next tax year. It amounts to a 70p increase on the current National Minimum Wage (NMW) rate of £6.50 and amounts to an annual increase of £1,200 for a full-time worker.
Before April’s change, the £6.50 rate increases in October 2015 to £6.70. The NMW will continue to apply for those aged between 21 and 24.
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