Aldi has raised the pay of thousands of its distribution workers by 9% as it attempts to expand further into the UK grocery sector amid the cost-of-living crisis.
Workers in the distribution sector are hot property as the pandemic led to an expansion of online grocery and ecommerce sectors.
This prompted companies to expand their logistics and warehouse networks in order to cope with a higher demand.
Both Aldi and its rival Lidl are expected to open hundreds of new stores in the UK over the coming years as the discount grocery industry booms.
Aldi specifically is seeking to reach 1,200 stores by 2025. Currently the grocer has 907.
It has also committed to at least two new distribution centres, which will take its UK workforce to approximately 75,000.
The company said that over 4,000 of its logistics workers would benefit from the proposed pay increase. The average wage will rise from £10.45 an hour and for intermediate “warehouse selector” roles to £12.66 an hour.
Store-based staff received a similar increase last month as pressure on supermarkets to increase worker wages increases.
According to the Financial Times, analysts at HSBC claimed wage inflation was a good way of putting the pressure on the UK’s Big Four supermarkets.