Warehouse praised for 'career' wage

The Warehouse Group chief executive Mark Powell has released details of the group's career retail...
The Warehouse Group chief executive Mark Powell has released details of the group's career retail wage. Photo by The NZ Herald.
Details of The Warehouse Group's ''career retailer wage'', released yesterday, would put pressure on other retailers, Craigs Investment Partners broker Greg Easton said.

''I suspect it will be supermarkets and fast food retailers that will come under fire first,'' he said.

The Warehouse chief executive Mark Powell said the details of the career retailer wage were released first to team members who would benefit from the change.

From August 1, the first stage would give about 3800 employees at the group as much as $30 to $65 more in their pay packets each week.

Around 200 additional staff every quarter would qualify to move on to the rate.

By the end of the year, about 60% of all permanent staff across the group would be earning the career retailer wage or higher.

''The second stage, in one year's time, will give a further significant pay increase to the full career retailer wage level,'' he said.

Mr Easton said the career wage was further enhancement of The Warehouse's reputation as a socially responsible employer and from a company point of view, a relatively low cost.

''This is great news for employees, especially down around these parts as our cost of living - certainly housing anyway - is cheaper than some places and the 'living wage' is calculated on a national basis,'' he said.

Mr Powell said staff who had completed the full training for their role and had worked 5000 hours or more - slightly more than two years full-time work - qualified for the career wage.

The ''living wage'' campaign data was used as a benchmark. The first stage of the programme would cost the group around $3 million.

The career wage was a key element of the group's strategy to make retail a more attractive career, alongside comprehensive training and a ''great'' workplace environment where a person's full potential could be realised, he said.

The extra pay would go to staff across all the group's businesses, including The Warehouse, Warehouse Stationery and Noel Leeming.

''As well as making retail a more attractive career, as a major employer, we're pleased that this positively impacts the wider community as some of this extra pay will, in turn, benefit other businesses and the wider economy.

''It supports our belief that flourishing societies need flourishing businesses and in turn, flourishing businesses need flourishing societies.''

The Warehouse valued its staff and the communities in which it operated and felt it had a responsibility to take a lead, Mr Powell said.

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