Pay Review 2022

[Cbatt566]

First (or should I say second) big announcement from a supermarket today, Sainsbury's increasing the hourly rate to £11 nationally or £11.95 in London. Let's see Tesco follow suit... they did say they would be announcing something earlier than the spring if I'm not mistaken!

[Himynameus]

minimum wage is going up at start of April to 10.42ph so it's got to go up to a least that by then.

[barafear]

First (or should I say second) big announcement from a supermarket today, Sainsbury's increasing the hourly rate to £11 nationally or £11.95 in London. Let's see Tesco follow suit... they did say they would be announcing something earlier than the spring if I'm not mistaken!

Would be nice to think Tesco might "match" - but the last few years have shown that they drag their feet - so although I see it likely that we would get £11 "shortly" (as another poster stated, has to be at least 10.42 by 1st April) - I'm sure Tesco will make it as late as possible - how come Sainsburys and the like can announce a pay rise and implement it the following month whereas Tesco seem to take anywhere up to 6 months for it to eventually come.

Sainsburys actually stated a "shortage of staff taking jobs at the current rates of pay" - a strange one to read - as we all feel that retail pay has been a race to the bottom for the last 5 years or so - ever since the NLW was increased by 5%+ per year.

Clearly, it seems inevitable that any increase of 7%+ by Tesco (to reach £11+) has to be partly paid by the further erosion of premiums.

 

[BarryZola]

I don't work bank holidays, nights or Sundays anymore (stopped all that craziness years ago), so personally that wouldn't bother me. It was clear years ago that they were going to eventually have to get rid of all premiums (maybe keep a bit for nights). Got tired of 'officially' getting a pay-rise and then not actually getting a pay-rise, so just work all the standard hours these days.

[Hammer10]

So last month they took away market supplement from hourly rate this month it's back I wish they would make this wage slip simple so much gobbledegook on it.Think they do it on purpose.

[NightAndDay]

First (or should I say second) big announcement from a supermarket today, Sainsbury's increasing the hourly rate to £11 nationally or £11.95 in London. Let's see Tesco follow suit... they did say they would be announcing something earlier than the spring if I'm not mistaken!

Would be nice to think Tesco might "match" - but the last few years have shown that they drag their feet - so although I see it likely that we would get £11 "shortly" (as another poster stated, has to be at least 10.42 by 1st April) - I'm sure Tesco will make it as late as possible - how come Sainsburys and the like can announce a pay rise and implement it the following month whereas Tesco seem to take anywhere up to 6 months for it to eventually come.

Sainsburys actually stated a "shortage of staff taking jobs at the current rates of pay" - a strange one to read - as we all feel that retail pay has been a race to the bottom for the last 5 years or so - ever since the NLW was increased by 5%+ per year.

Clearly, it seems inevitable that any increase of 7%+ by Tesco (to reach £11+) has to be partly paid by the further erosion of premiums.

 

New starters don't get any premiums except night premiums, time and a quarter for legacy contracts will go at some point, that is a given, but perhaps not while the competition are offering a premium for bank holidays, in this case, I would estimate that Tesco will increase their CA rate to £11.10 an hour and the money will come from the increased cost of products Tesco sells, it may tie in on the other statement of price freezes until Easter and perhaps from the cost savings to management structures in Superstore/ex-Metro's.

[Bobmay]

I told people many times they will remove nights premium and bank holiday they didn't listen. I stand by what I said.Tesco will be removing more nights from many more stores making them do twilight hours.They will also in my opinion remove managers from big tesco and replace them more with shift leaders.They will cut managers that are left in metros express stores and superstores aswell as tesco wants to save more money.So the ones that will be cut is managers and former metro stores which still have nights will be replaced with twilight hours.Premimum will be reduce or removed instead of the 2.30 they pay now they will half it.

[Paupers wage]

Sainsbury's and Usdaw negotiations bring fast pay increases the very next month yet so called Tesco partnership agreement drags out the process and awards lesser pay awards 6+ months into autumn winter period, when the likes of Sainsbury's are already well into a further pay increase, Tesco's the catch up retailer

[torlum]

So last month they took away market supplement from hourly rate this month it's back I wish they would make this wage slip simple so much gobbledegook on it.Think they do it on purpose.

It was unlawful to lower the hourly rate. No consultation either shows it was error.

Our store manager fobbed us off saying Tesco weren't going to sort it but it seems HR managed to sort it out.

[NightAndDay]

Just thought I'd point something out, the new national living wage coming into effect this April (the government mandated minimum wage) of £10.42 an hour, for someone working a full time minimum wage job (they're more common outside of retail) of 37.5 hours a week would be on £20,319 a year, and that's assuming no overtime or premium payments, the current equivalent £9.50 an hour minimum wage ends up as £18,525 a year, that's almost a £2k pay rise. Looking at it this way, it really does put a lot of things into perspective, one of them being that more and more jobs are edging closer to the new minimum wage including management positions.

There's been a massive mismatch between pay rises for salaried staff and for hourly paid over the last few years (a slight difference between higher and lower hourly paid roles, except for a few exceptions, the nominal increase has been the same as the CA increase, because of how percentages work, it means CAs have been getting larger raises as a proportion than Shift Leaders and most roles in between). While Managers had to make do with either no raise or one of 3% at best.

At some point, Tesco will have to review the pay differentials between roles, otherwise they risk not being able to fill management positions because the pay wouldn't be reflective of expectations.

 

[jonty]

https://amp.theguardian.com/business/2023/jan/06/tesco-staff-get-quality-streets-for-christmas-instead-of-bonus

[T.C.1]

So just read Tesco is to report bumper Christmas sales yet Tesco struggles with limited pay reviews and don't get me started on cutting staff to the bone after Christmas last night it was a skeleton crew then had sick calls o it's ok as long Tesco has it's bumper profits.

[MerchMan007]

Tesco needs its "bumper profits" so that , as quoted by The Guardian (see above) "Murphy, who joined the UK's biggest supermarket chain in October 2020, could earn up to £10.7m this year if he meets certain performance targets."

[penguin]

Just thought I'd point something out, the new national living wage coming into effect this April (the government mandated minimum wage) of £10.42 an hour, for someone working a full time minimum wage job (they're more common outside of retail) of 37.5 hours a week would be on £20,319 a year, and that's assuming no overtime or premium payments, the current equivalent £9.50 an hour minimum wage ends up as £18,525 a year, that's almost a £2k pay rise. Looking at it this way, it really does put a lot of things into perspective, one of them being that more and more jobs are edging closer to the new minimum wage including management positions.

There's been a massive mismatch between pay rises for salaried staff and for hourly paid over the last few years (a slight difference between higher and lower hourly paid roles, except for a few exceptions, the nominal increase has been the same as the CA increase, because of how percentages work, it means CAs have been getting larger raises as a proportion than Shift Leaders and most roles in between). While Managers had to make do with either no raise or one of 3% at best.

At some point, Tesco will have to review the pay differentials between roles, otherwise they risk not being able to fill management positions because the pay wouldn't be reflective of expectations.

 

Already happening, I know a couple of managers from my last store both of whom have left and one got a job with a banks head office, the other has gone to Sainsburys and is now an s.m despite Tesco telling him he would never make more than a team manager and would be best staying put. I guess there are many more examples but those the only two I know off.

[penguin]

Just thought I'd point something out, the new national living wage coming into effect this April (the government mandated minimum wage) of £10.42 an hour, for someone working a full time minimum wage job (they're more common outside of retail) of 37.5 hours a week would be on £20,319 a year, and that's assuming no overtime or premium payments, the current equivalent £9.50 an hour minimum wage ends up as £18,525 a year, that's almost a £2k pay rise. Looking at it this way, it really does put a lot of things into perspective, one of them being that more and more jobs are edging closer to the new minimum wage including management positions.

There's been a massive mismatch between pay rises for salaried staff and for hourly paid over the last few years (a slight difference between higher and lower hourly paid roles, except for a few exceptions, the nominal increase has been the same as the CA increase, because of how percentages work, it means CAs have been getting larger raises as a proportion than Shift Leaders and most roles in between). While Managers had to make do with either no raise or one of 3% at best.

At some point, Tesco will have to review the pay differentials between roles, otherwise they risk not being able to fill management positions because the pay wouldn't be reflective of expectations.

 

Already happening, I know a couple of managers from my last store both of whom have left in part due to the pay becoming closer and closer to CA level and one got a job with a banks head office, the other has gone to Sainsburys and is now an s.m despite Tesco telling him he would never make more than a team manager and would be best staying put. I guess there are many more examples but those the only two I know off.

[Charlie Harper]

Same goes for Shift Lead. You'd have to be mad to take up one of those roles given the stress & expectation they are put under (in my store anyway)for the peanuts extra they get over a C.A. Hence the struggle to fill those roles.

[Bobmay]

Please do NOT quote immediately prior post(s).  .Admin

Correct, shift leaders especially in express stores are managers for far less money and more stress they have to work the cages that aren't done and make sure they are finished before they leave.

[Attilla]

Sainsbury's and Usdaw negotiations bring fast pay increases the very next month yet so called Tesco partnership agreement drags out the process and awards lesser pay awards 6+ months into autumn winter period, when the likes of Sainsbury's are already well into a further pay increase, Tesco's the catch up retailer

:

[randomworker]

So just read Tesco is to report bumper Christmas sales yet Tesco struggles with limited pay reviews and don't get me started on cutting staff to the bone after Christmas last night it was a skeleton crew then had sick calls o it's ok as long Tesco has it's bumper profits.

Personally I think the pay rates in the industry is the true value after costs and competition is factored in. If I want more money its on me to either skill myself up so I can find a job that moves me up the economic ladder. By all means I'm all for the GOV pushing the living wage as high as it wants and I'm all for the supermarkets factoring that cost in when deciding how many people they need to run the business and how much to raise prices to maintain a profit.

End of the day there is no major innovation in the sector to generate large amounts of wealth and on average the sector make around 3p in every pound they sell. I not gonna begrudge any business making that profit margin and just to put it into perspective the area with the largest innovation tech make massive profit margins I think Apple is around 28% mark.

[Sherwoodforest]

A lot of industry years ago had unions with a lot of clout, yes they probably got paid well, but where is coal, steel and car industry now?  priced out the market by cheaper labour abroad.  Pay has to be sustainable for the company and sector to continue, our competition is aldi, lidl, asda so Tesco only doing what it needs to be doing to continue in the market.

[randomworker]

I have no time for the unions in their current set up. All unions do is look out for their on interest within that company and yes if they have clout which is usually because there is no true competition in the market they will get more money. But eventually time catches up and if that business doesn't compete against the competition then it will go under.

[Garysmith123]

So sainsbury have been awarded an £11 per hour increase from April

[Himynameus]

From February not April

[MerchMan007]

So sainsbury have been awarded an £11 per hour increase from April

Wow , £11 per hour INCREASE would definitely make me stay

[Voulezvous]

When are Tesco due to announce the pay review information for 2023? Sure i read somewhere it was the end of January, Results are due this morning so possibly be today along with details of a well deserved bonus 😀