Morrisons is intending to increase its hourly pay rate for store staff to £8.20 an hour from a previous minimum of £6.83.
More than 90,000 staff will benefit – across all age brackets.
Morrisons will make an extra investment of more than £40m in the improved hourly pay rate. Supplements, such as a premium for working on Sunday, will also be simplified.
David Potts, Chief Executive of Morrisons, said: “We have been listening to our colleagues who told us they want their pay to be more competitive and simpler.
“By paying a significantly higher hourly rate, we are recognising the contribution of our excellent staff, who are so important to the revival of Morrisons.”
The shopworkers’ union Usdaw is supporting the pay move and recommending it to its members.
Published 29/09/15