Aldi Sets Benchmark in Retail Wages: UK Workers See Second Pay Rise in Two Months

Aldi UK has once again demonstrated its commitment to employee welfare with a second pay rise for its store colleagues in just two months, raising the minimum hourly wage to £13.02 nationwide, and up to £14.66 in London. This move not only reinforces Aldi’s position as the highest-paying supermarket in the UK but also highlights the growing competition among retailers to attract and retain skilled staff in a tight labor market.

Compared to its nearest competitor, Lidl, which offers an entry-level pay of £13.00 per hour, Aldi’s new wages put it slightly ahead. Even Tesco, Sainsbury’s, and Morrisons, long-standing leaders in the UK supermarket sector, typically pay lower rates, with Tesco offering £12.50–£12.70 per hour and Sainsbury’s at £12.30 per hour for entry-level roles. By exceeding the Real Living Wage of £12.60 and significantly outpacing the National Minimum Wage of £12.21, Aldi positions itself as an attractive option for workers seeking financial stability and clear career progression in the retail sector.

Internationally, Aldi’s pay rates also stand out when compared to minimum wages in other major markets. In Australia, the Fair Work Commission set the national minimum wage at AUD 24.95 per hour (approximately £12.90), effective from July 2025. While competitive, this means Aldi’s UK hourly rates surpass Australia’s baseline, albeit within a different cost-of-living context.

In the United States, the federal minimum wage has remained at $7.25 per hour for over 15 years, though some states have higher rates. For example, New York City enforces $16.50 per hour, while Connecticut plans to increase its minimum to $16.94 per hour in 2026. Even with these state-level adjustments, many U.S. retail employees still earn less than Aldi’s UK store colleagues when currency conversions and local purchasing power are considered.

Aldi’s proactive wage strategy goes beyond basic pay. The company also provides paid breaks, which can be valued at approximately £1,425 annually per store assistant, a benefit not consistently offered by many other UK retailers. These additional perks demonstrate Aldi’s approach to holistic employee care, recognizing that fair wages combined with workplace benefits contribute to higher satisfaction, reduced turnover, and greater overall productivity.

From a business perspective, this approach offers multiple advantages. Higher pay rates help attract talent in a competitive retail sector, especially in areas like London, where living costs are significant. They also strengthen Aldi’s reputation as a responsible employer, which can improve customer perception and brand loyalty. Moreover, in an era of tight labor markets, offering above-average wages is a strategic investment in operational stability and long-term growth.

Aldi’s second pay rise in two months solidifies its status as a leader in retail compensation. By surpassing rival UK supermarkets and exceeding minimum wages in international markets such as Australia and the U.S., Aldi demonstrates that prioritizing employee welfare is not only ethically responsible but also a savvy business strategy. With its competitive wages and added benefits, the company is setting a benchmark for others in the retail industry, showing that investment in staff can deliver both morale and measurable business gains.