Supermarket Lidl has said it will increase hourly pay for 28,000 workers next month before the minimum wage rise on April 1.
The German-owned discount supermarket said its new rates, which come into effect in March, will be more than 50p higher than the Government’s new National Living Wage (NLW), which was announced in last October’s Budget.
Lidl – which has more than 970 stores and 14 warehouses nationwide – said wages for entry-level employees will rise to £12.75 an hour across the UK, up from £12.40, and increase to £13.65 with length of service.
In London, new starters will see pay go up to £14 an hour, increasing to £14.35 with length of service.
Its new wages come ahead of the rise in the NLW for people aged 21 and over to £12.21 in April, up from £11.44 currently.
Lidl’s latest wage increase is part of a near-£15 million investment into pay, including increases for workers on annual salaries.
It employs more than 35,000 people in total across the UK.
We’re proud to offer leading pay rates in the sector, while fostering a culture of opportunity and inclusion that helps our teams thrive
It comes as firms across the retail sector have warned over the cost pressures of soaring staff bills after Labour announced a increase in national insurance contributions (NICs) for employers and minimum wage rise, both from April 1, in its recent Budget.
The NICs increase is designed to help pay for improvements to public services like the NHS, but retailers have criticised it for making it more expensive to hire people.
A number of large firms, including Sainsbury’s, axed jobs in the first weeks of 2025, with some of the cuts at the supermarket understood to be linked to the increase in NICs.
Stephanie Rogers, chief people officer at Lidl, said: “We’re proud to offer leading pay rates in the sector, while fostering a culture of opportunity and inclusion that helps our teams thrive.
“As we continue to grow, investing in our people remains at the heart of what we do.”
The move follows an announcement last month by fellow German discounter Aldi, which said it will raise its minimum hourly rate to £12.71, up from £12.40 an hour currently.
Aldi’s employees in and around London will see their hourly pay rise to at least £14, up from £13.65.
