Lidl has announced a further £37m investment in staff pay, which will see 26,000 hourly paid colleagues receive the “highest rates of pay” in the sector.

Lidl fascai against blue sky

The discount supermarket’s entry-level pay will be “up to 17% higher” than the new national minimum wage

The new pay increase will see entry-level roles outside the M25 increase from £11.40 to £12.00, going up to £13.00 with length of service.

Staff working within the M25 will see a pay hike from £12.85 to £13.55, increasing to £13.85 over time.

The discount supermarket said these new entry-level rates will be “up to 17% higher” than the national minimum wage being introduced in April.

In addition to the pay rises, which come into force on March 1, Lidl is also introducing a bank holiday premium of £2 per hour and a boost to its night shift premium to £3.50 per hour.

The announcement brings the supermarket’s investment in pay to almost £60m in the past 12 months.

The news follows record trading and market share gains over the Christmas period with a 12% increase in overall sales.

Investing in people

Lidl GB chief executive Ryan McDonnell said: “Customers are switching to Lidl from every other supermarket, and it’s our colleagues’ commitment and performance that is making this happen.

“It’s only right, therefore, that we thank them for their incredible work and reward them for their efforts.

“Investing in our people is vital as we set our sights further on increasing our market share and bringing our high quality, great value products to even more households.”

Meanwhile, Lidl GB chief human resources officer Stephanie Rogers added: “Offering competitive pay and being a great place to work for our colleagues is crucial to our success.

“This has always been central to our strategy, ever since opening our doors almost 30 years ago.  

“I’m pleased that we are continuing to hold ourselves to our high standards and to reward colleagues with the highest rates of pay in the sector.”