The UK’s fifth-largest grocer said the majority of its warehouse workers, known as pickers, will now earn at least £12.66 an hour, up from £11.95 today after a rise from £11.48 in January. Those working in London will receive at least £13.05 an hour. Aldi said last month it would increase the wages of workers in its stores for the second time in a year. Tesco and sandwich chain Pret a Manger have also increased workers’ pay twice in the past 12 months, while Asda increased its pay to £10.10 an hour in July after unions criticized it for lagging behind rival chains with a rate of £9.66 introduced in April. This week, the Nationwide Building Association said it was handing over 11,000 employees earning less than £35,000 a year a one-off payment of £1,200 to help with living costs. This amount was added to the 4% wage increase that took place earlier in the year. Andrew Bailey, the governor of the Bank of England, said the wave of wage rises and labor action demanding more in the face of rising cost of living inflation meant inflation could be “embedded”. Subscribe to Business Today Get ready for the business day – we’ll point you to all the business news and analysis you need every morning Privacy Notice: Newsletters may contain information about charities, online advertising and content sponsored by external parties. For more information, see our Privacy Policy. We use Google reCaptcha to protect our website and Google’s Privacy Policy and Terms of Service apply. In total, 4,200 staff will benefit from the pay rise, working across Aldi’s 11 distribution centers serving its 970 stores. Night shift workers will receive a 25% premium on basic pay, up from 20% previously, as companies struggle to attract enough warehouse staff amid a surge in home deliveries during the coronavirus pandemic. The prices also exceed the Living Wage Foundation’s current recommended real living wage of £9.90 an hour nationally and £11.05 within the M25. This rate is expected to increase in October, earlier than usual, due to rising costs of living due to spikes in energy, fuel and food prices. Giles Hurley, managing director of Aldi UK and Ireland, said: “This announcement recognizes the amazing contribution our logistics colleagues make to serving communities across the country. “We are also pleased to increase the nightly premium we pay to our many colleagues who work so hard to keep our stores well stocked. Their outstanding efforts help ensure that our customers continue to have access to fresh, affordable food, every day.”