Response to inflation: Aldi pays more minimum wage

Status: 04/26/2022 15:32

Food discounter Aldi raises the minimum wage for its employees. With wage increases, the company wants to react to general inflation in Germany.

The wave of price hikes in Germany prompted Aldi’s management to raise the company’s minimum wage. This was announced by the food discounter at noon.

The minimum wage for Aldi employees in the two subsidiaries Aldi Nord and Aldi Süd will be increased from the current € 12.50 to € 14 per hour from June. “Everything is getting more expensive now, and of course the employees feel it too,” a spokesperson for the company said.

Training allowances are also increasing

Aldi Süd also announced in a press release that it will also increase the training allowance. From August the salaries of all trainees will be increased by 100 euros: to 1100 euros in the first year, 1200 euros in the second year and 1350 euros in the third year. Aldi Nord and Aldi Süd employ nearly 90,000 people in Germany and around 5,000 young people are currently in training in the two groups.

This means that the minimum wage at the discounter is now even more significantly above the legal minimum wage. This increases in July from the current € 9.82 to € 10.45 per hour. In the coalition agreement of the traffic light government, the parties agreed on a gradual increase in the minimum wage to twelve euros per hour. Under a current bill, Federal Labor Minister Hubertus Heil (SPD) wants to take this step by October 2022. Aldi’s competitor Lidl has also regularly raised the minimum wage in recent years. The lower wage limit at the discounter Neckarsulm is currently 12.50 euros.

Pressure on politics and collective bargaining parties

The further drastic rise in the cost of living in Germany is likely to keep the pressure high on politicians, but also on collective bargaining parties. Mainly due to rising energy and food prices, inflation in Germany passed the seven percent mark last month. The federal government is currently trying to mitigate the consequences of inflation with a package of energy measures.

Drastic inflation rates are not just a drag on incomes in Germany. In Britain, therefore, two of the largest retailers are reacting to the rapid rise in the cost of living not only with wage increases, but also with price cuts.

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