Asda has announced an “above-inflation” pay rise for all of its shopfloor workers in an investment worth £80m. 

The supermarket said it would be increasing pay rates for its 110,000 retail workers by almost 4%, effective from July 5.

Hourly workers at Asda will see their rate increase from £12.60 per hour to £13.10, and pay for those inside the M25 will increase from £13.82 to £14.35. 

The raise will come in stages, with workers outside and inside the M25 seeing a boost from April to £12.71 and £13.93 respectively.

Asda said the move was part of a £575m investment in pay rates for its workers since 2021, an increase of 40%. 

Chief people officer James Goodman said: “Our store‑based colleagues are at the core of our business and the role they play serving customers is central to our Formula for Growth turnaround plan. I’m pleased we’ve been able to give them an above‑inflation pay award and invest in this way. I’d also like to thank them for their continued hard work and commitment to making Asda better every day.” 

The news comes among a flurry of pay updates from retailers ahead of the new financial year, with the likes of Primark, Currys, B&Q and Home Bargains all announcing hourly pay increases for their staff.

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