The Union of Shop Distributive and Allied Workers (Usdaw) yesterday (March 17) announced that following negotiations with the supermarket giant, “staff pay will increase to £12.45 per hour in March and £12.65 in August across Tesco stores and fulfilment centres”.
The deal ensures that “Tesco hourly pay will exceed the real living wage outside of London and continue to meet the new London living wage rates within the M25”, the union said.
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Tesco staff within London will see their pay increase to £13.66 this month and £13.85 in the summer, it added.
And Usdaw confirmed to C+D that the pay rise – which represents a 5.2% increase - applies to all hourly paid pharmacy staff who are directly employed by Tesco.
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According to the trade union, this deal means that it has secured increases in the basic hourly rate for Tesco members of “over 32%” since 2022.
“In addition, the pay deal provides for improvements to company sick pay, night premium, shift leader pay and the colleague discount card,” Usdaw said.
But it noted that “to bring Tesco in line with other retailers, Sunday premium payments will be removed for those colleagues that still receive them, with eligible colleagues receiving a one-off payment to protect their earnings”.
“Real achievement”
Usdaw general secretary Paddy Lillis welcomed the staff pay increase and stressed that its members “are key workers in the business and it is only right they are fairly rewarded with a living wage”.
And Usdaw national officer Daniel Adams added that “it is a real achievement that...the union reps on the pay team were able to secure an above-inflation pay deal”.
“It also ensures a meaningful gap between the Tesco rates of pay and the national living wage in April,” he said, adding that the deal “demonstrates the value of a modern and progressive relationship between independent trade unions and employers”.
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Tesco chief executive Matthew Barnes said that “our colleagues are our greatest asset and this pay deal recognises the brilliant work they put in day in, day out to serve our customers”.
“It also represents another significant investment in our colleague pay, which, combined with our fantastic package of benefits, means Tesco continues to be a place to get on and thrive in a fulfilling and rewarding career,” he added.
Tesco closures
It comes after Tesco confirmed to C+D last month that it will close “a small number” of its in-store pharmacies “later this year”.
The supermarket giant will close 10 pharmacies in total later this year, but they will continue to operate as normal until their closure date, it said.
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The locations of the pharmacies have not yet been confirmed and it is not known whether any more closures are planned in the near future.
The supermarket chain previously announced in April 2023 that it was closing eight of its in-store pharmacies just months after it had first mooted the idea.
