Tesco Ireland has revealed a 3% pay increase for most of its staff, effective from January 1, along with an extension of paid maternity leave from 14 to 26 weeks. The pay rise for hourly workers will bring the average hourly wage to €17.61 by 2025, surpassing the national living wage expected to be implemented in 2026.
With a workforce of over 13,500 employees across nearly 180 stores, the company has committed to a €14 million investment in the improved pay deal. In addition, fully paid paternity leave will be extended to two weeks for employees with at least six months of service, and fully paid maternity leave will be raised to 26 weeks. Adoptive leave will also increase from 14 to 24 weeks for employees with over a year of service.
These changes will apply to Tesco’s staff across stores, distribution centers, the Customer Engagement Centre, and offices. Maurice Kelly, Tesco Ireland’s People Director, highlighted the company’s recognition of its employees’ vital role in the business’s success and the ongoing investment in their well-being. Over the past two years, Tesco has invested over €30 million in enhancing pay and benefits.
In a similar move, Bank of Ireland recently updated its maternity leave policy, allowing staff undergoing cancer or serious illness treatment to defer their maternity leave for up to 52 weeks, without it overlapping with illness-related leave. The bank provides 26 weeks of paid maternity leave.