Marks and Spencer is to give more than 40,000 store workers a pay rise from April.
Supermarket customer assistant staff will see their hourly pay increase from £10.20 to £10.90.
This means M&S will pay above the National Living Wage, which is rising to £10.42 an hour for those over the age of 23.
Employees in London stores will see their hourly wages upped from £11.25 to £12.05.
M&S said about 62% of its 65,000 employees will benefit from the salary boost, which comes as part of a £57million investment.
It comes on top of two separate pay rises over the past year and means that a full-time customer assistant will earn nearly £150 a month more.
Stuart Machin, chief executive at M&S, said: "Whether you're running a home or a business, everyone is trying to balance the reality of rising costs.
"Of course, we all hope inflation subsides, and there are some positive signs that it is doing so, but we need to help colleagues in the here-and-now.
"That's why we are investing so significantly in our hourly rates of pay and why we are supporting colleagues with a continued commitment to our wide-ranging package of industry leading benefits."
The news from M&S comes after Tesco also announced a pay rise for staff.
The hourly wage of a store worker is going up from £10.30 to £11.02 from April 2.
Tesco will also increase its “additional skills payment” for shift leaders to £2.26, taking their hourly wage to £13.28.
Asda has also confirmed it will increase staff pay by 10% for 115,000 workers in spring.
The pay rise will see the hourly rate at the supermarket rise from £10.10 an hour to £11 in April, then to £11.11 an hour in July.
The rates for workers inside the M25 will increase from £11.27 an hour to £12.17 in April, then to £12.28 an hour in July.
Aldi announced a pay rise in January, with workers receiving a starting salary of £11 an hour, rising to £11.90.
Employees inside the M25 are paid £12.45 an hour, rising to £12.75.
Sainsbury's currently pays workers £10.25 an hour, or £11.30 an hour if they're in a London store.
Morrisons workers are paid a minimum of £10.20 an hour, or £11.05 inside the M25.