Woolworths NZ Supermarket Team Secures Significant Wage Increase in New Collective Agreement

  • Dec. 28, 2024
  • FMCG HORECA BUSINESS
Woolworths NZ Supermarket Team Secures Significant Wage Increase in New Collective Agreement

Woolworths New Zealand has reached a landmark agreement with its supermarket team members, resulting in a substantial wage increase and enhanced benefits for thousands of employees across the country. The newly ratified collective agreement ensures Woolworths continues to be an employer of choice, offering improved wages, training opportunities, and a range of team benefits.

Wage Increase and New Pay Structure

Under the terms of the new collective agreement, Woolworths supermarket employees will see their minimum wage increase by 6.8% over the next two years. This includes an immediate 3.3% raise in the first year, boosting the minimum hourly rate for supermarket team members to $25.85. In the second year, employees will benefit from an additional 3.5% wage increase.

In addition to these wage hikes, Woolworths is introducing a new multi-skilled hourly rate for team members who receive specialized training to work across three or more departments. This multi-skilling program will reward employees with a higher hourly rate of $26.35, providing greater flexibility and opportunities for career growth within the company.

Special One-Off Payment for Team Members

As part of the new agreement, Woolworths team members contracted to work 32 hours or more per week will receive a special, one-off payment of $175. Those working less than 32 hours a week will receive $80, with the payments being made in time for Christmas. These payments are a gesture of appreciation for the hard work and dedication of the team, and they will be a welcome bonus as the holiday season approaches.

Focus on Long-Term Career Growth

Woolworths New Zealand is committed to supporting the professional development of its team members. The introduction of the multi-skilling program is aimed at providing employees with lifelong skills and more flexibility, while also creating a rewarding career path within the retail industry.

Spencer Sonn, Woolworths New Zealand’s Managing Director, emphasizes the importance of investing in employees’ learning and growth. “At Woolworths, we want to be an employer of choice and ensure our team can have long and fulfilling careers with us. This agreement is another critical part of ensuring we retain great people and provide them with the tools and resources to build rewarding careers.”

Additional Team Benefits

Alongside the wage increases and one-off payments, Woolworths is offering a range of benefits designed to improve the overall well-being of its team members:

  • Grocery Discounts: Woolworths supermarket employees enjoy a 5% discount on all grocery items, 10% off fresh and own brand products, and two 10% discount days per month. Additionally, there are special Everyday Rewards member offers available to team members.

  • Industry-Leading Parental Leave: Woolworths provides 12 weeks of paid parental leave for the primary caregiver, along with four weeks of secondary caregiver leave. This generous policy ensures employees can focus on family without worrying about financial strain.

  • Mental Health Support: Woolworths also offers employees access to Sonder, a 24/7 mental health support service that is designed to provide employees with the emotional and psychological support they may need at any time.

  • Coaching and Support: Team members returning from parental leave can benefit from coaching and support from Grace Papers, ensuring a smooth transition back into work.

Looking Ahead

The new Collective Agreement is now in effect, with backpay applied from July 1, 2024. Spencer Sonn expressed gratitude to FIRST Union for representing the team members and highlighted that this agreement reflects the company’s ongoing commitment to fair compensation and a positive working environment.

“We’re pleased to have landed this agreement in a place that fairly rewards our team for the work they do every day and balances the current economic climate. We look forward to continuing to work closely with FIRST Union to ensure our team members are supported and valued.”

With these improvements, Woolworths New Zealand is not just enhancing wages, but also investing in the long-term success and well-being of its supermarket team, ensuring they remain motivated, happy, and supported as they continue their careers with the company.