Co-op has today [Friday, 8 March] confirmed frontline store colleagues have voted to accept an above inflation pay award which will see hourly rates increase to at least £12.60 per hour during 2025, in line with Co-op’s long standing commitment to the Real Living Wage.
The pay award, which has this week been accepted following a ballot of colleague Usdaw union members, represents an increase of almost 27% since 2022.
The increase, equating to an annualised increase for a full time Customer Team Member of £1200, forms part of Co-op’s competitive reward package which also includes an industry-leading 30% own-brand colleague discount.
Kate McCrae, Co-op operations director, said: “Our store colleagues are at the very heart of the business and we are pleased to be able to provide a reward package that is competitive, above inflation and impactful. This deal reaffirms our ongoing commitment to the Real Living Wage, and ensures Co-op is among the highest food retailers in terms of pay.
“We are a growing business, focused on delivering convenience and value for our colleagues, members, customers and communities. We truly value the dedication and hard work of our store teams, and recognise their commitment to bringing to life our co-operative difference in towns, villages and cities all across the UK.”
The new changes are part of Co-op’s wider commitment to offer a generous range of benefits and significant package in support of colleague wellbeing. Co-op is one of the few national retailers to offer paid breaks; it offers between 31-38 days holiday for a Customer Team Member**, and maternity and paternity leave in excess of statutory requirements.
Paddy Lillis, Usdaw general secretary, said: “Usdaw has a longstanding and valued relationship with the Co-op and we welcome that the staff pay increase is in line with Real Living Wage rates. Our members are key workers in a business that delivers an essential service in our communities and it is only right they are fairly rewarded with a living wage.”
Following discussions, retail trade union Usdaw recommended that its balloted members vote in favour of the increased hourly rates of pay.
Jayne Allport – Usdaw National Officer said: “We are pleased to have negotiated an above inflation pay increase, which ensures that Co-op staff are on at least the Real Living Wage, despite lower inflation rates than last year and following on from previous significant pay increases. The cost of living continues to be a key concern for our members, so the business’ decision to respond in such a positive manner is a welcome one for our members.”
The rate of pay for Co-op Customer Team Members will increase in two steps, which is above inflation and rises from £12.00 to £12.30 per hour from 1 April, plus a further increase to £12.60 from 1 August 2025 (an overall increase in the hourly rate of pay of 5%). With paid breaks this equates to £13.46 per hour* for a full time Customer Team Member.
Team Leaders see pay increase from £13.32 to £13.65 on 1 April, and a further increase to £13.99 from 1 August (2025).
For Co-op Customer Team Members working in London, the hourly rate of pay will increase from £13.15 to £13.85 from 1 August 2025. With Team Leaders in London receiving an increase from £14.47 to £15.24 from 1 August.
In 2022, Co-op introduced an enhanced fertility policy to support individuals, partners and surrogates receiving and recovering from the physical and psychological effects of fertility treatment. As well as introducing a dedicated menopause support guide for its managers to better support colleagues experiencing perimenopause and menopause.
Co-op also introduced a market-leading compassionate leave policy, providing greater flexibility for paid leave for bereavement and giving managers the discretion to make the right decisions for colleagues for up to 10 days paid leave.
