Why this firm is giving staff an ‘inflation-busting pay rise’

As cost of living fears continue to mount, many businesses have started to roll out pay rises for staff to help with rising prices, such as energy bills.

The latest employer to do so is telecoms firm Three UK, who recently announced plans to introduce an ‘inflation-busting pay rise’, with increases of up to 12.6% for around 2,500 retail staff.

Workers will now receive new hourly pay rates set at £10.13 nationwide, and £11.40 in London, excluding any bonuses.

Three revealed in a release that the new rates took effect from January, the first with base hourly rates surpassing the real National Living Wage for colleagues in stores outside of London, and the London Living Wage set by the Living Wage Foundation for workers in London-based stores.

Elaine Carey, chief commercial officer at Three UK, shared that the extra pay was rolled out to reward staff for their work throughout the pandemic.

“Our retail staff are at the core of our business and I am delighted to announce this increase in base salary as a reward for their continued hard work, particularly throughout the pandemic,” she explained.

“Now more than ever, good mobile connectivity is critical to how we all live and work, so it’s right that we reward the people who serve our customers day in, day out.

“I’d like to thank all of my colleagues for their continuing contributions to our business and our goal of delivering better connectivity, every day for every customer.”

Three’s work perks

As well as the increase in pay and performance-related bonuses averaging 25% of base salary, employees also have access to a range of benefits at the company.

These include private medical insurance, free flu vaccines and a free mobile device or £200 every 18 months.

In addition to this, workers receive up to 30% discount at retailer Superdrug and an annual subscription to the mental health app, Headspace.

Three revealed that it was also undertaking a significant recruitment drive, with more than 100 retail vacancies currently live in stores.

Employers dishing out pay hikes

Other businesses who have introduced new pay rises to reward their staff include Aldi, Sainsbury’s, Pret a Manger and Lidl.

Commenting on the pay increase at the sandwich chain, Pret’s CEO Pano Christou, shared that nothing is more important to the business than ensuring its people are “properly rewarded around the world”.

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