Aldi introduces wages higher than the ‘real living wage’ after supermarket has record year The German discounter said it hopes to create 2,500 more jobs in 2019

Aldi has increased its hourly rates of pay for staff after breaking the £12bn sales barrier for the first time.

Last year Aldi reported record earnings in the UK and Ireland against a increasingly fragile retail sector. It also enjoyed a strong Christmas.

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The German discounter has again touted itself as the UK’s best-paying supermarket after it increased wages for all employees.

The company said all store assistants will from February earn £9.10 per hour outside the M25, and £10.55 in London. Interestingly, Aldi said all workers are paid the same flat rate, however old they are.

Employees previously earned £8.85 per hour and £10.20 per hour respectively.

Real living wage

Regionally, Aldi’s pay exceeds the UK’s “real living wage”, which is encouraged by the Living Wage Foundation and is more than the Government’s statutory boundaries. Many feel the Government’s rates are too low.

In London, the supermarket’s new £10.55 wage matches the charity’s voluntary minimum. Aldi also told i that store managers start on £44,890, which is almost £20,000 more than a junior doctor’s starting salary, and more than double that of a police officer beginning their career.

While Aldi’s rates of pay are notable, it’s worth pointing out that the company employs fewer members of staff per store than traditional supermarkets like Sainsbury’s and Waitrose. Aldi has around 40 members of staff in each shop, while rivals require far more – usually more than double.

The budget chain is able to make do with fewer workers thanks to its more efficient operating system – shelves don’t need stacking because food products are put up still in boxes, for example, and checkouts run quicker as customers bag their own groceries. There are numerous other cost-saving mechanisms.

Tesco launched its discount spin-off Jack’s based on a similar model touting speed and simplicity. Jack’s also functions with fewer team members than classic Tesco branches. Staff pay at Jack’s is £9 per hour – 10p less than Aldi.

New store plans

Aldi’s pay rise comes as high street stores continue to struggle. At Waitrose, staff – or “partners” as they are known – are given a yearly bonus in addition to their wages, but this year they may not get one for the first time since 1953.



Giles Hurley, CEO for Aldi UK, said: “Our store colleagues do a fantastic job every day and the excellent service they provide to customers is a key reason why we are the UK’s fastest-growing supermarket.

“We’re committed to being the best supermarket employer in Britain and this means rewarding our colleagues for the excellent job they do with market-leading rates of pay and opportunities to progress their career at Aldi.”

Aldi now has more than 800 stores across the UK and plans to open a further 65 in 2019. The company said it will be creating around 2,500 new jobs in the process.

The German chain wants to have 1,200 branches in the UK by the end of 2025. Morrisons and co. must be worried.