Lidl GB colleagues working within the M25 will earn up to £13.85 an hour over time. Credit: Lidl GB.

Supermarket chain Lidl GB has announced a more than £37m investment to increase pay for its hourly-paid employees, setting a new benchmark for the retail sector.  

Starting from 1 March 2024, the company’s entry-level wages will rise to £12.00 per hour outside the M25 [the motorway which encircles London] and £13.55 within M25, with potential increases based on length of service.  

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The pay rise extends beyond entry-level positions, with salaried staff benefiting from the investment. 

The pay rise for entry-level employees will be up to 17% above the National Minimum Wage.  

Lidl is also enhancing its bank holiday to £2.00 per hour and nightshift premium to £3.50 an hour.  

Lidl GB’s investment in its employees follows a period of significant growth for the retailer.  

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Over the Christmas season 2023, the retailer experienced a 12% year-on-year sales increase and attracted £116m in customer spending from competitors.  

Lidl GB CEO 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.” 

The retailer has already invested £60m in employee pay over the past year and offers a 10% staff discount, valued at up to £600 per person annually. 

Lidl GB also offers a comprehensive benefits package, including maternity and adoption pay and paid leave for fertility treatments.