UK | Lidl GB has announced its latest investment into pay, which will see its 26,000 hourly-paid colleagues receive the highest pay rates in the sector.
From 1st March, the discounter’s entry-level rates will increase from £11.40 to £12.00 outside of the M25, rising to £13.00 with a length of service. Meanwhile, those working within the M25 will see pay rates rise from £12.85 to £13.55, increasing to £13.85 over time. These new entry-level rates will be up to 17 percent higher than the National Minimum Wage introduced in April.
The move represents an investment of over £37 million and includes increases for salaried colleagues across the business.
The discounter also introduces a bank holiday premium of £2.00 per hour. It will enhance its nightshift premium to £3.50 per hour whilst also extending the timeframe in which it is payable by one hour.
Today’s updates bring Lidl’s total investment in pay over the past 12 months to almost £60 million. On top of this, Lidl is the only discounter to reward colleagues with an employee discount (10 percent), which carries a value of up to £600 per person, equating to an investment of around £20 million a year.
The investment follows record trading and market share gains over the Christmas period for Lidl, with sales growing +12 percent YoY in the four weeks ending 24th December 2023. The discounter also won £116 million of customer spending from competitors over the festive period and was the only supermarket to win spend from every grocer.
Ryan McDonnell, CEO at Lidl GB, said that customers are switching to Lidl from every other supermarket, and our colleagues’ commitment and performance are making this happen.
“It’s only right, therefore, that we thank them for their incredible work and reward them for their efforts. Investing in our people is vital as we set our sights on increasing our market share and bringing our high quality, great value products to even more households,” said McDonnell.
Stephanie Rogers, Chief Human Resources Officer at Lidl GB, stated that offering competitive pay and being a great workplace for its colleagues is crucial to Lidl GB’s success.
“This has been central to our strategy since opening our doors almost 30 years ago. I’m pleased that we continue to hold ourselves to our high standards and reward colleagues with the highest pay rates in the sector,” said Rogers.
As well as competitive pay and colleague discounts, Lidl GB offers colleagues a raft of benefits, including its sector-leading Maternity and Adoption pay (28 weeks), introduced this month, along with paid leave for fertility treatment and pregnancy loss. Further entitlements include enhanced holiday entitlement, life assurance and optional health and dental insurance.
