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High-street bank HSBC, and housebuilder Taylor Wimpey have joined the growing number of UK businesses supporting their lower-paid workers with one-off Cost of Living Payments.
In announcing their latest half-year results, Taylor Wimpey has revealed the business will make a cost of living payment of up to £1,000 for all employees on salaries below £70,000. The payment will be made alongside a salary benchmarking and pay review process. The business has reported pre-tax profits of £334.5 million for the six months to 3rd July 2022, and commented that inflationary pressures on build projects were being offset by continued strong growth in house prices.
HSBC has also announced it will make a £1,500 one-off payment to around 18,000 of its lowest paid workers in their August pay packets. The decision follows negotiations with trade union, Unite, which has also spearheaded campaigns for similar support for staff at other financial institutions, including Barclays, Natwest, Lloyds, Co-operative Bank, Virgin Money, TSB and Standard Life.
With inflation set to hit double figures by the end of the year, a growing number of businesses are exploring ways they can support colleagues with meeting day-to-day expenses. One of the most popular measures include one-off Cost of Living payments, typically of around £500 to £2,000, with major corporations such as banks and the likes of British Airways, easyJet and Rolls Royce, offering such payments, as well as smaller businesses. Stockport based retail group Parfetts has used its record profits to support its workers with rising inflation with a £500 one-off payment on top of sales bonuses.
Hallidays HR’s Liz Chiva explains some of the other options businesses have for supporting colleagues with the rising cost of living in an Expert Opinion piece here.