The John Lewis Partnership has announced a significant 6.9 per cent pay increase for its shop workers, effective from 1 April.
The employee-owned retail giant, encompassing John Lewis department stores and Waitrose supermarkets, confirmed the move represents a substantial £108 million investment in its staff.
This latest rise outstrips the national minimum wage increase unveiled in last November’s autumn budget.
Shop floor employees across both brands will see their minimum hourly rate climb to £13.25 nationwide.
For those working within the M25, the minimum rate will further increase to £14.80.
The increase will translate to an annual rise of around £1,600 per year for a typical full-time employee.
It comes ahead of the national minimum wage rising by 50p from £12.21 to £12.71 per hour for workers aged 21 and over from April 1.
The group said it will also increase the rate of pay for workers with enhanced skills or more specialist roles to £14.31 per hour, rising to £15.98 within the M25.
Helen Webb, chief people officer for JLP, said: “Our partners are the heartbeat of our business.
“This £108 million investment is about putting more money into their pockets month-in, month-out.
“This pay growth demonstrates a sustained commitment to partner pay, consistent with previous years.
“This ensures that the rewards for our partners’ hard work are built into their monthly pay as we continue to invest in the future of the Partnership.”
The announcement comes a month ahead of the group’s annual results, where it is expected to outline whether staff will receive an annual bonus.
Last year, JLP shelved a potential annual bonus for partners for the third year running despite improved profits.
Last summer, the company indicated in an internal update that staff could be in line for a bonus if it beats a £200 million profit target.