Ikea unveils £12m cost-of-living support package for staff

The package includes an average 6% pay rise for salaried workers, to £10.90 an hour or £11.95 in London, and a bonus equivalent to one month’s salary ahead of Christmas. The rise, which comes into effect in January, brings the homewares giant in line with the new Living Wage Foundation rate of pay. 

The staff discount has doubled from 15% to 30% off and additional meals have been added to the retailer’s free healthy meal options, which now include a ‘winter warmer’ meal and breakfast options.

Other benefits for workers of more than six months include a flexible ‘no questions asked’ loan of up to £1,000 or 10% of their salary, an increased public transport season ticket discount from 15% to 25%, access to a €10m (£8.6m) social fund managed by the Retail Trust and an iBenefits portal with shopping discounts and a 24-hour support helpline.  

Darren Taylor, Ikea UK and Ireland people and culture manager, said: “Our people are at the heart of the success of our business and we have always been committed to paying a fair, sustainable rate of pay based on the cost of living. This year is no different.

“Recognising the increasing challenges brought by the rising cost of living, we are pleased to share some of the additional measures we are taking to ensure needs are met, and hope that it will ease some of the pressures of the current climate. By building on our existing co-worker benefits, and by heightening the focus in this area, we want to ensure that our colleagues feel supported during this challenging period.”