Sainsbury's to increase pay for store staff

Supermarket Sainsbury’s has announced that it will be investing over 100 million pounds in its store employees this year, including increasing the base rate of pay as part of a new contract as well as the introducing “streamlined and broader” job roles.

The new contract for its 130,000 store employees includes a new base rate of pay from 8 pounds to 9.20 pounds an hour, and for staff working in stores in Zones 1 and 2 in London, this will increase to 9.80 pounds per hour.

In addition, the retailer is introducing “streamlined and broader” roles, moving from 22 specific roles to five. These will include trading assistant, food services assistant, online assistant, general merchandise and clothing assistant, and services assistant.

Other changes include alterations to premium payments and changes to productivity, flexibility and attendance standards, as well as the removal of the colleague bonus and paid breaks.

The supermarket states that the new contract with new pay rates, is part of making sure there is “consistency and fairness” across all stores, regardless of age or length of service. Every employee will be offered the new contract and consultation on the proposals begins this month and will take place over the coming months. If the proposals are confirmed, colleagues will receive the new rate of pay from September 2018.

Sainsbury’s retail and operations director, Simon Roberts, said: “The retail sector has never been more competitive and we know that our customers really value our colleagues and the excellent service they provide in our shops.

“Which is why we think it is so important to invest further in our colleagues so they feel rewarded and motivated to do the best possible job for our customers every day. We expect the best from our teams and that’s why we’re committing to a leading rate of pay. Great pay for great work.”

Roberts added: “Together with our recent proposals to change our management structure in stores, we believe the proposed changes will set us up to run the best shops in the industry, delivering the best possible service for our customers.”

Sainsbury’s will fund the pay increase through ongoing cost savings within the business.

Image: courtesy of Sainsbury’s