Majestic, the UK’s largest specialist wine retailer, has made its biggest ever investment in colleague pay to recognise the expertise and experience of store teams, and shield its people from the impact of rising living costs.
Majestic’s highly trained Retail teams have always been at the heart of the business, delivering on its mission to help customers to discover and buy wines, beers and spirits they love. The new pay structure has been put in place to better reward those colleagues for that contribution, and allow them earn as they learn within the business.
All store colleagues have been awarded a basic pay increase that takes their hourly rate to at least £10.60, ahead of the National Minimum Wage. This base rate has been brought in alongside a new incremental pay structure, which rewards colleagues for their Wine & Spirit Education Trust (WSET) qualification level, their experience and tenure with Majestic, and the size of the shop that Store Managers and Assistant Managers are in charge of.
It means that Store Managers who are qualified to WSET Diploma level, highly experienced, and hold the keys to Majestic’s best-performing shops can earn as much as £11,700 more per year in addition to their base salaries.
Majestic’s store colleagues will receive an average salary increase of 6.7% in 2023/24 as a result of the new hourly base rate and pay structure. They have also been awarded an additional £250 bonus as a thank you for their efforts over the past 12 months, and will retain the ability to earn uncapped bonuses based on their store’s performance against sales targets. In 2022/23, the bonuses Majestic paid to store colleagues hit a record high following the second-biggest Christmas trading period in the retailer’s history.
Store colleagues can also win incentive trips to wineries around the world to further their wine knowledge. This year around a quarter of Majestic’s Retail colleagues will enjoy trips to destinations including California, Australia, Chile and Mexico.
The changes to the pay structure came into effect on 1 April 2023, and will be reflected in the paychecks Majestic colleagues receive this week.
The Majestic board has again taken the decision not to take a pay rise this year, just as it did in 2022, and will use that money to help fund salary increases for colleagues across its Support Centre in Watford, and Distribution Centre in Hemel Hempstead. Those on lower salaries will be awarded larger increases in pay, meaning that eligible colleagues earning £30,000 or less will benefit the most.
The pay increases come as Majestic seeks to accelerate its growth plan with the backing of owners Fortress Investment Group. Since moving back into private ownership after separating from Naked Wines plc in 2019, Majestic has returned to growth and stability. In contrast to many UK retailers, it has invested heavily in physical retail, opening 12 new stores during the past three years and refurbishing dozens more. Majestic Commercial – the on-trade arm of Majestic – has also celebrated a post-pandemic recovery with more than 400 new bars, pubs and restaurants signed up during the past year.
Majestic CEO John Colley said: “We are aware that it has been an increasingly challenging 12 months for our colleagues, with the rising cost of living impacting all of us as individuals, and the cost base of the Majestic business. These have been key considerations for the Board over the last few months as we looked at the best way to reward our colleagues for their ongoing dedication and hard work.
“The restructuring of the pay, reward and recognition structure in our Retail business marks the biggest investment we have ever made in store colleagues since the company was founded. The pay structure will not only help our people through current cost-of-living pressures, but also creates a scheme that gives all store colleagues the opportunity to earn more, learn more and progress their careers at Majestic.”
