John Lewis and Currys have followed other retailers by giving their staff pay rises ahead of an increase to the UK minimum wage in April.
About 65,000 John Lewis shop workers will get a raise of at least 7.4%, the group said on Thursday, while Currys’ 15,000 retail staff will get a 6% increase.
Both pay increases are ahead of inflation, and follow retailers Marks & Spencer, B&Q, Sainsbury’s, Lidl and Costa Coffee, among others, are making similar moves.
The Bank of England will pay close attention to the widespread pay increases, after inflation climbed to a 10-month peak of 3% in January.
A recent jobs market report also showed pay growth across the UK hit an eight-month high, which could contribute to inflation rising further.
John Lewis said it is spending £114 million on the pay deal, which will see the minimum rate of pay climb to £12.40 an hour, and to £13.85 for workers in London.
The previous bottom rate would be below the new UK national living wage, which rises to £12.21 an hour on April 1.
The retail group said about three-quarters of the pay rise is voluntary, or above the minimum wage.
Jo Rackham, interim executive director of people at John Lewis, called the increase a “very significant investment”.
The group said workers who have contributed “exceptionally” to the business could see their pay rise by as much as 9.4%.
Currys said workers’ minimum hourly rate will rise to £12.51, and £13.51 inside London.
