The new pay rates are almost 40p higher than those set by the new National Living Wage, which comes into force in April
Costa Coffee is to give a 5% pay rise to baristas working across its 1,500 company-owned stores.
From 1 April, over 15,000 hourly-paid team members across the UK, regardless of age-bandings, will see starting pay increase from £12 per hour to £12.60.
This is almost 40p higher than the new National Living Wage rate for those aged over 21, which will rise from £11.44 to £12.21 in April.
Costa said the £8m investment was part of the business’ efforts to ensure staff received a sustainable pay rate amid the rising cost of living.
Hourly pay for ‘barista maestros’, who are team leaders and coffee trainers, will increase by an average of almost 5% to at least £12.93, while those who complete role-specific training will be paid £13.43.
Team members in central London will also receive an extra £1 per hour above the national minimum rate, bringing starting pay to £13.60 per hour for baristas, £13.93 per hour for new barista maestros, and £14.43 for those who have completed their role-specific training.
Costa said staff also have access to a buy-one-get-one-free share incentive plan, 50% employee discounts and complimentary coffee while on shift.
Nick Orrin, Costa Coffee’s UK&I managing director, said: “At Costa Coffee, our expert baristas and dedicated store teams are the driving force behind everything we do. This latest pay increase reflects our ongoing commitment to investing in and supporting our people. We are proud to recognise the passion, talent, and hard work they bring to their roles every day, ensuring exceptional experiences for our customers.”
Private-sector pay in Britain, excluding bonuses, rose by 6.2% in late 2024, the fastest pace in a year, according to the Office for National Statistics.
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