20.01.2023

The wages juggernaut gathers pace

As the new year gathers pace, so too do reports of wages continuing to rise rapidly in the sector that Extraman mainly supplies into.
The report of Aldi pay rates is, as ever, reported in terms of hourly rates. However, annualising the hourly rate means that Aldi warehouse workers are receiving between £26,000 and £27,000 per annum, depending upon whether they work 37.5 hours or 40 hours per week. Who would be a nurse?
It is hard to know when these extreme (20% in a year) wage rises will level off. Not so long ago, in pre-Brexit days, warehouse wages would seldom rise much above National Minimum Wage (now £9.50, due to rise to £10.42 in April). The next barrier was the Living Wage (currently £10.90 outside London, £11.95 within London). This has now been smashed through, with no signs of slowing.
It is a great time to work in unskilled areas; demand exceeds supply hugely. Where things go from here will be fascinating to observe.



https://www.theguardian.com/business/2023/jan/18/aldi-increases-pay-for-uk-warehouse-workers-for-third-time-in-a-year