Around 65,000 employees at John Lewis are set to receive a substantial pay increase starting in April. The John Lewis Partnership, which encompasses department stores and Waitrose supermarkets, announced that shop floor wages will go up by nearly 7%, equivalent to an additional £1,600 annually for full-time staff. Employees at the retail giant are referred to as partners due to the unique ownership structure of the business.
While the pay raise has been confirmed, there is uncertainty regarding the distribution of a partner bonus this year, as one has not been granted since 2022. Jason Tarry, the chair of the partnership, expressed the commitment to award a bonus as soon as feasible. The decision on the bonus allocation will be made by the Board in March, independent of the recent pay hike announcement.
The pay increase will benefit 99.6% of partners at John Lewis, totaling £108 million. Effective April 1, employees working on the shop floor at both John Lewis and Waitrose will see a 6.9% raise, with minimum hourly rates increasing to £13.25 nationwide and £14.80 at stores located within the M25 area.
For partners who acquire specialized skills and take on specific roles, hourly rates will rise to £14.31, reaching £15.98 within the M25 region. These adjustments partly reflect the upcoming higher statutory National Living Wage, where the rate for workers aged 21 and over will rise by 4.1% to £12.71 per hour.
Helen Webb, the chief people officer at the John Lewis Partnership, emphasized the significance of investing in their partners, stating that the £108 million investment aims to directly increase partners’ earnings regularly. This pay increase underscores the ongoing commitment to partner remuneration, aligning with previous years’ practices.
In addition to the salary increase, employees at the Partnership enjoy various benefits, including discounts at John Lewis and Waitrose, a pension contribution of up to 12%, subsidized personal development opportunities, discounted rates at affiliated hotels, and a comprehensive health and wellness package that includes access to physiotherapy and counseling services.
Despite facing challenges, such as increased restructuring costs and new tax and regulatory charges, the Partnership remains dedicated to its employees. The group, operating 36 department stores and over 300 Waitrose supermarkets, continues to prioritize the well-being and financial security of its workforce.