Tesco has invested £70m to award colleagues in its store teams with a ‘thank you’ payment, which CEO Ken Murphy said looks to “recognise their brilliant work serving customers this year”.
For the average full-time store colleague, this investment represents a payment of around £300.
It comes as Murphy affirmed the supermarket giant’s ability to invest in colleagues, as he stated that the grocer has “never had higher employee engagement than we’ve had this year”.
As of this month, Tesco’s biggest ever single investment into hourly colleague pay of more than £300m will roll out, increasing hourly pay rate for store colleagues by 9.1% from £11.02 to £12.02.
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This sits alongside new wellbeing benefits, including virtual GP appointments and enhanced family leave.
Murphy said that Tesco has “put more colleagues on the shop floor with 2.5m more hours invested in service in our stores,” and added that between the 70 new stores it plans to open this year and the expansion of its online and technology teams, it plans to create 2,000 new jobs this year.
It comes as Tesco has reported “strong” full year results with pre-tax profits jumping to £2.3bn, up from £882m.
Murphy said this performance “reflects the hard work of colleagues across the whole Tesco group, and their commitment to serving our customers”.
6 Comments. Leave new
Saved £80 million by not paying the new rate of pay until may pay cycle spend £70 million on a bonus to save face in the public eye 2.3 billion profits and the lowest paid staff get a 1.5% bonus while managers will get 5-10% and a store manager can earn upto 50%
Nice to see that staff are being appreciated for all the hard work they do.
Most Tesco workers won’t see any of the bonus because they are low wages and therefore on means tested benefits like universal credit who will use the bonus in the calculation for payment and wipe it out
Well at my store they treat staff like crap and any bonus will go straight in the lead and store managers pocket. Lies
Just be thankful tesco get a bonus asda stopped paying bonus last year so we get absolutly hee haw now
Well I’ve just opted out of the bonus
I’m on uc so that won’t help my calculation
By the time tax and NI is done you don’t generally see much of it anyway
I think it should be a separate payment (we work bloody hard to get said bonus) no tax no NI at all