Lidl has today announced its seventh pay rise for workers in just three years, declaring that the move reinstates its status as Britain's highest-paying supermarket. The German discount retailer confirmed that from March 1, entry-level pay will increase to £13.45 per hour across the nation, with rates climbing to £14.45 per hour based on length of service.
Significant Investment in Staff Compensation
A substantial £29 million investment in pay rises will also see new starter pay in London jump from £14.35 to £14.80 per hour, rising further to £15.30 with service tenure. Lidl, which employs over 35,000 staff across its 1,000 stores in England, Scotland, and Wales, emphasised that this marks the seventh such increase since 2023.
Enhanced Paternity Leave Benefits
Beyond wage improvements, Lidl is doubling its paternity leave offering from two to four weeks of full pay. This benefit will expand to eight weeks of fully paid leave after five years of service, reflecting the company's commitment to workplace gender equality.
Industry Leadership and Competitive Positioning
Stephanie Rogers, chief people officer at Lidl, stated: "Our colleagues are the backbone of our business, and their success is our success. This is why I couldn't be prouder that we're able to offer the highest wages in the industry to reward our colleagues for their incredible work."
Rogers added: "We are continuing to mark unprecedented growth across Great Britain, creating thousands more jobs along the way, while continuing to invest in our people." Regarding the paternity leave enhancements, she noted: "We believe that a longer period of paid paternity leave is a vital step on our journey towards gender equality in the workplace."
Comparison with Rival Aldi
The announcement follows rival Aldi's January 13 revelation of a £36 million investment in pay and benefits, which will see starting pay for store assistants rise to £13.35 per hour nationally and £14.71 per hour within the M25 from March 1. With Lidl's new rates, its staff will now earn between 9p and 27p more per hour than Aldi workers, depending on location and service length.
Key wage comparisons from March 1:
- Lidl UK entry-level pay: £13.45/hour (up to £14.45 with service)
- Lidl London hourly pay: £14.80/hour (up to £15.30 with service)
- Aldi UK entry-level pay: £13.35/hour (up to £14.30 with service)
- Aldi within M25 hourly pay: £14.71/hour (up to £15.03 with service)
Broader Business Context and Growth
Lidl also highlighted that its employees are the only supermarket staff nationwide to benefit from the Real Living Wage and London Living Wage standards. The business recently revealed plans to open 19 new stores over the next eight weeks, creating up to 640 additional jobs.
Having opened its 1,000th store last year, Lidl aims to add approximately 40 more sites by February 28. According to Worldpanel experts, Lidl is currently Britain's sixth-largest grocery chain and has achieved the most significant market share gains in the sector in recent months.
Recent financial figures from Lidl showed a robust Christmas performance, with a 10 percent sales surge generating over £1.1 billion in turnover during the four weeks leading up to Christmas Eve. This pay rise announcement strategically precedes the national minimum wage increase of 50p, from £12.21 to £12.71 per hour for eligible workers aged 21 and over, effective April 1.
