Workers in Aldi will receive a pay hike with a new minimum wage of £8.40 an hour from February 2016. This is seen as an attempt of keeping the company ahead of its competitors during growing battle in the retail sector. The pay rise by Aldi is on the wake of George Osborne’s National Living Wage, initiating next year April. The pay revision will make Aldi the highest paying supermarket company in UK. Which will in turn bring more pressure on the rivals- the big four retailing chains- Tesco, Asda, Sainsbury’s and Morrisons.
Matthew Barnes, chief executive for Aldi’s UK & Ireland operations, said, “Just as Aldi won’t be beaten on the low prices of our products, we are also committed to offering the best pay and benefits in the industry.”
Unlike National Living Wage, which will only applicable to the workers over the age of 25, the new rate is payable to all Aldi employees regardless of their age. Aldi boasts to have half of British families as their shoppers, employs around 28,000 people in the UK. The pay hike will directly benefit almost 5,000 workers. The company which opened its 600th store in London recently will pay its London staff £9.45 an hour. The German discount retailer is one of the few supermarkets in UK to give its workers paid breaks. The company also said it has plans to open 1,000 stores by 2022 which will create job opportunities for 10,000 people.
The boosted UK national minimum wage (NMW), which will help more than 1.4 million employees, ensures an increase in adult rate by 20p to £6.70 per hour.