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Tesco’s new deal: Good or bad?

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PH100616_Page_06_Image_0001TESCO, who have 2,620 stores throughout the UK and 14 within the Herald’s coverage area, are to slash wages for many employees by the time they receive their next pay cheques, which is hidden by a blanket increase to wages nationally, staff say.

The Herald was contacted by a current employee of the retail giant who found out about the cuts earlier this year after working for the company over the last two decades.

They explained that although across the board staff are to receive very slightly higher wages, those who work unsociable hours and Sunday shifts will be detrimentally effected.

THE CUTS

The cuts will come in the form of bonus reductions; staff will no longer receive double time for Sundays and Bank Holidays, and those working night shifts and overtime hours will no longer receive the same increases, with some staff claiming they’ve been told overtime will be paid at the standard hourly rate.

On Sundays and Bank Holidays, the formerly doubled pay will be reduced to just time and a half, a reduction of 25%.

The employee who contacted The Herald notified us that they thought the increases to staff wages were only being implemented to mask the reductions which the retailer is making, to allow the national media to hide that staff are going to suffer from the changes.

THE INCREASE

Nearly a quarter of a million Tesco store staff will receive a 3.1% increase in basic pay this year under a new ‘deal’ that includes the cuts to holiday and night-time bonuses.

Established staff at Tesco will qualify for the increase and will get £7.62 an hour starting from July, some 42p over the £7.20 minimum wage for over-25s.

New employees to the company will see their pay rise £7.20 to £7.24 in July, which was increased from £7.04 to fall in-line with the national minimum earlier this year.

SOFTEN THE BLOW WITH A PAY-OUT

The Herald was told that as a sweetener, employees who were to be most affected by the bonus changes would be receiving a sum of money to make up the difference for a short period of time.

We were told that compared with the length of time they and others had been at the company and how long they intended to stay, the payment for the short period was not good enough.

Tesco have said that 85% of staff would be better off under the pay deal and that those who had been negatively affected would be handed a lump-sum payment worth 18-months of the difference in pay.

HOW DOES THE RETAILER’S PAY COMPARE?

Online statistics show that Tesco’s pay increase will put them above Sainsbury’s and Asda who currently pay national minimum wage (£7.20), but compared with companies like Lidl, Aldi and Morrison’s all of whom offer around £8/hour, the retailer falls short.

Matt Davies, the chief executive of Tesco in the UK and the Republic of Ireland, said: “We’ve spent a lot of time working with [trade union] Usdaw and colleague representatives to understand what’s important to colleagues.

“Together, we have agreed one of the highest pay and benefits packages in retail for store colleagues, and introduced a simpler and fairer pay structure, including one approach to premium payments.

“As well as an increase in pay, which puts our hourly rate well above the government’s national living wage, we remain absolutely committed to rewarding our colleagues with a pay and benefits package they really value, including a pension, colleague discount and 5% turnaround bonus.”

Pauline Foulkes, a national officer at Usdaw, said the total package for Tesco staff, including a 5% turnaround bonus that employees are on track to receive this year, was well ahead of the living wage and was one of the best in retail: “We believe the deal is the best that could be achieved in the circumstances and represents a significant investment in pay and benefits.”

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Andrew RT Davies resigns as Welsh Conservative leader after confidence vote

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ANDREW RT DAVIES has stepped down as leader of the Welsh Conservatives after narrowly surviving a confidence vote within his party.

In a letter announcing his resignation, Davies expressed regret, stating that his position had become “untenable” after some Members of the Senedd (MSs) threatened to resign from his frontbench if he remained in post.

The vote, held on Tuesday morning, saw Davies secure nine votes in support but faced opposition from seven MSs. Reflecting on the outcome, he said: “It was clear from the result that a substantial minority of the group do not support our approach.”

Davies has served as leader of the Welsh Conservatives in the Senedd for most of the past 13 years. His departure marks the end of a tenure defined by both challenges and significant contributions to the party in Wales.

Commenting on the resignation, Reform UK Wales Spokesman, Oliver Lewis said: “True to form, the Tories have turfed out another leader thinking that will resurrect their failing party. They care more about jousting for position than they do about serving Welsh people.

“It does not matter who they have as leader, the simple fact is they have failed in opposition just as they failed Wales in Government in Westminster for 14 years.

“The people of Wales want real change in 2026 and that is just what we plan to offer them. Wales needs Reform.”

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Health

Hywel Dda appoints new Deputy Chief Executive Officer

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HYWEL DDA University Health Board has today announced the appointment of Lisa Gostling as its Deputy Chief Executive Officer.

Lisa has held the role of Deputy Chief Executive at the health board on an interim basis since February this year, pending the appointment of a substantive Chief Executive Officer, which was announced in October.

Professor Phil Kloer, Chief Executive Officer, at Hywel Dda said: “I am delighted that, following a competitive process, Lisa is appointed to the post of Deputy Chief Executive Officer, a responsibility that she will hold in addition to her post of Executive Director of Workforce and Organisational Development.”

Lisa relocated from the West Midlands to Pembrokeshire and developed her career within the workforce and organisational development teams at the Health Board. She has worked for Hywel Dda and its predecessor organisations since 1993.

Since 2015, she has been a member of the Executive team and Board as Director of Workforce and Organisational Development. Since February this year, she also held the role of interim Deputy Chief Executive Officer. She holds a CIPD qualification from Sandwell College and is a keen Welsh learner.

Phil continues: “Lisa’s innovative approach to recruitment and to staff development has been of great benefit to our health board – including the development of our culture and values that shapes our work every day, and the establishment of the Apprenticeship Program that has seen us enable several local people to join our Hywel Dda teams and develop their career with us.

“Lisa has also been instrumental in supporting our work to reduce our dependency upon agency staffing and building our substantive workforce – ensuring greater sustainability and quality in our teams.

“I look forward to continuing to work with Lisa in her new role and wish her every success for the future.”

Lisa Gostling, Deputy Chief Executive Officer and Executive Director of Workforce and Organisational Development, added: “It is an honour to be appointed to this position and support Phil, our Board, and our teams across the health board in delivering health care for our communities.

“I look forward to building on the foundations of the past six months and working with our team of staff who are all dedicated to improving the health and well-being of current and future generations.”

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Community

Henry Tufnell MP advocates for Pembroke’s bell restoration project

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LAST weekend, Henry Tufnell MP visited St David’s Cathedral, where he had the opportunity to witness the tradition of bell ringing and meet with members of the St Mary’s Bell Restoration Project. The meeting underscored the vital importance of preserving Pembroke’s unique heritage while also addressing the ongoing challenges faced by the restoration team.

St Mary’s Church, located in the heart of Pembroke, is home to a set of historic bells that have been a cherished part of the town’s life for over 260 years. However, due to structural and safety concerns, these bells have been silent, putting a pause on their role in significant civic and cultural events, including Remembrance Sunday and local celebrations.

A significant £150,000 from the £10.5 million UK Government funding pot has been allocated to this restoration project, but delays in finalising the grant have hindered progress. Henry pledged his commitment to ensuring that the project receives the attention it deserves to move forward without further obstacles.

Following his visit, Mr Tufnell said: “Speaking with members of the St Mary’s Bell Restoration Project at St David’s Cathedral highlighted how much this initiative means to the people of Pembroke. Restoring these historic bells is about more than just tradition; it’s about community pride and keeping our heritage alive for future generations. I’m determined to help ensure this project gets the green light it needs and I will be doing everything in my power to ensure it happens.”

The St Mary’s Bell Restoration Project has garnered widespread support from local residents and businesses, whose donations have helped secure the match funding required for the Fund. Completing the project would be a significant milestone, securing a vital piece of Pembroke’s history for years to come.

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