Aldi is set to be the first supermarket to pay all store and warehouse workers at least £12 an hour, with the new rate taking effect from 1 February.
The discounter’s national entry-level hourly rate will rise from 11.40 to £12, while its rate within the M25 will increase from £12.85 to £13.55.
It follows two rises for Aldi workers last year, in January and July, as it competes with Lidl to be the UK’s highest-paying supermarket.
Lidl matches Aldi’s current rate, at £11.40 nationally and £12.85 within the M25, having last increased its rate in September.
Aldi’s latest move means it will offer higher entry-level pay than any other UK supermarket – assuming Lidl does not match the move between now and February.
Aldi also offers paid breaks – which it says are worth an additional £900 a year to the average store worker – while Lidl does not.
The rise means Aldi is also set to become the first supermarket to meet the latest real living wage, as set by the Living Wage Foundation in October, of £12 an hour nationally and £13.15 in London.
Read more: How much do supermarkets pay their staff?
The rate for Aldi store workers will rise further, to £12.95 nationally and £13.85 within the M25, with length of service.
It is part of a £67m investment into pay, according to the discounter, with salaried staff also in line for a rise.
“Just as we promise to provide the best value to our customers, we are also committed to being the highest-paying supermarket in the sector,” said Aldi UK & Ireland CEO Giles Hurley.
“We are incredibly proud of every single member of Team Aldi and this is a way of thanking them for all their hard work over the past year. We believe our colleagues are the best in the sector and they play a huge part in making Aldi what it is today.”
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