Morrisons has announced it will increase the minimum hourly wage for its store workers to £10.20, claiming this makes it the highest paying UK supermarket. The move comes as retailers across the country struggle to recruit and retain staff following the reopening of the economy.
The pay rise, which is subject to staff approval, will benefit around 80,000 employees from October. Workers in London, specifically those within the M25, will receive at least £11.05 an hour, matching the voluntary London Living Wage.
Clare Grainger, Morrisons' group people director, said: 'We're very pleased to be maintaining our position as the highest paying UK national supermarket.' The announcement follows similar pay increases from rivals Tesco, Sainsbury's and Asda this year.
Richard Hyman, a partner at retail consultancy TPC, noted that recruitment difficulties are widespread. He suggested that while the wage rise may give Morrisons a temporary advantage, how retailers manage rising costs and share the burden with customers will be crucial in determining their long-term success.
Official figures last month showed that for the first time on record, there were fewer unemployed people than job vacancies in the UK. This has intensified competition for workers, with supermarkets like Tesco, Lidl and Aldi also raising their hourly rates to around £10.10.
