Beautiful Virgin Islands

Tuesday, May 13, 2025

Rolls-Royce hands workers £2,000 to ease cost of living squeeze

Rolls-Royce hands workers £2,000 to ease cost of living squeeze

The Derby-based engineering group told 11,000 staff on Monday that they would receive the lump sum as well as a backdated 4% pay rise as the cost-of-living crisis intensifies.

Rolls-Royce Holdings is to hand £2,000 in cash to nearly three-quarters of its UK workforce, making it the latest major British employer to try to help staff deal with the intensifying squeeze on living costs.

Sky News has learnt that the aircraft engineering group informed thousands of employees on Monday that it is offering the lump sum as well as a 4% pay rise backdated to March to 11,000 shopfloor workers in its UK manufacturing plants.

It also intends to provide the £2,000 lump sum to a further 3,000 junior managers, taking the total number of beneficiaries of the company's decision to 14,000 people.

In total, 20,000 people work for the engine-maker in Britain.

A source who had seen the memo circulated to staff said that junior managers would receive the cash in August, while union members will receive it once the offer is accepted by Unite, which represents thousands of Rolls-Royce workers.

Staff at Derby and Bristol would account for the bulk of the recipients of the additional money, which collectively would equate to a 9% pay rise for the 11,000 shopfloor workers, according to one insider.

The company has 20,000 staff in Britain


The one-off lump sum will cost Rolls-Royce £28m, while the backdated pay rise will take the aggregate cost to more than £40m, the source added.

The person described the pay rise as the biggest at the company for well over a decade.

The sum is not insignificant for a business which City analysts predict will barely break even from a cashflow perspective this year.

Warren East, Rolls-Royce's outgoing chief executive, is said to have decided, however, that the move was essential to maintain morale among a workforce that has endured a turbulent couple of years.

He was said to have told workers in the memo: "We are living through exceptional times, with economic uncertainty largely driven by the continuing impact of the global pandemic and more recently the war in Ukraine.

"All of this is impacting each of us at home, at work and in our pockets."

The pandemic spurred Rolls-Royce into announcing thousands of jobs cuts as the global aviation industry ground to a near-halt.

It was also forced to raise hundreds of millions of pounds from the sale of new shares, as well as refinancing its debts.

Rolls-Royce follows Lloyds Banking Group, the UK's biggest high street lender, in awarding employees additional pay to help them cope with soaring household expenditure.

A number of supermarkets, including Asda and Morrisons, have also handed pay increases to workers in recent weeks.

A Rolls-Royce spokesman declined to comment.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Arsenal Stages Comeback to Draw 2-2 Against Liverpool in Premier League Clash
Trump's Upcoming Visit to Gulf Nations: Investment and Security at the Forefront
Rodrigo Duterte Awaits Trial at The Hague. Next week he might be elected mayor of his hometown
Trump fires director of U.S. Copyright Office, sources say
Retired British police officer arrested over ‘thought crime’ tweet
Cardinal Robert Prevost Elected as Pope Leo XIV, Marking a Historic Papacy
Newark Mayor Ras Baraka Arrested at ICE Facility Amid Congressional Visit
India-Pakistan conflict may be first test for Chinese military tech
Bill Gates Announces Plan to Wind Down Philanthropic Foundation and Disperse Wealth
Historic Papal Conclave Set to Commence in Rome
Huge Copper, Gold, and Silver Discovery in Argentina and Chile — But the Profits Go Abroad
Prince Harry is pleading for reconciliation — but the royals are just as sick of his victimhood as everyone else
The Road to Freedom: She Protested Putin, Escaped House Arrest, and Survived a 2,800-Kilometer Journey
OpenAI's Flip-Flop: No Longer Going Commercial, Back to Nonprofit, After Musk Lawsuit and Backlash
“Trump Supporter” Aims to Bring a MAGA-Style Shift to Romania
First From China: Zhao Xintong Wins the Snooker World Championship
Nvidia Faces Billion-Dollar Losses – Warns: China Is on Its Way to Becoming an AI Superpower
Trump Rules Out Third Term, Names JD Vance and Marco Rubio as Potential Successors
Mexico Says ‘No’ to U.S. Troops: President Sheinbaum Rejects Trump’s Offer to Fight Cartels
Nigel Farage’s Reform UK Storms the Map, Wrecking the Two-Party Monopoly
DOGE: Reimagining Government Operations with AI
Common Sense Returns to Britain's Legal System: UK Supreme Court Declares a Woman Is… a Woman
Beijing Says U.S. Is ‘Reaching Out’ for Tariff Talks Amid Soaring Trade Tensions
U.K. Court Rejects Prince Harry’s Final Appeal Over Police Security
Prince Harry’s Heartfelt Outburst Rocks the Royal Family
Trump Shares AI-Generated Image of Himself as… Pope, Prompting Outrage Reaction
Transgender Swimmer Secures Five Gold Medals at U.S. Masters Championship
Prince Harry: “I Want Reconciliation with My Family”
Germany's Alternative für Deutschland (AfD) party has now been officially labeled “right-wing extremist” by the federal office for the so-called “protection of the constitution.”
Amazon Launches Satellite Internet Service Amidst Competition with SpaceX
Transformative Changes in Women's Wrestling: The Rise of WWE Superstars
The Rush to the White Gold: Global Investment Surge in Natural Hydrogen Exploration
This is a day in Spain without electricity and internet
Reform UK Surprises in British Elections, Challenging Traditional Two-Party System
180-Year-Old Christian University in South Carolina Announces Closure Due to Unmet $6 Million Fundraising Goal
Brazilian Woman Jailed for Fourteen Years for Writing “You Lost, Idiot” on Statue During Protest
Trump Administration Removes National Security Adviser Mike Waltz Amid Signal Chat Controversy
Dutch Politician Eva Vlaardingerbroek Receives Spyware Threat Alert from Apple
Paramount Board Considers Settlement in Trump’s $20 Billion Lawsuit Over "60 Minutes" Interview
U.S. Economy Shrink in Trump’s First Quarter as Tariff Policy Raises Questions
Deadline Looms for RTS Meter Replacement: Hundreds of Thousands at Risk of Heating Disruption
Sweden Grapples with Deadly Gun Violence: Suspect Arrested After Three Young Men Killed in Uppsala Hair Salon
Walz Reveals Why Harris Chose Him as Her Running Mate and Reflects on Democratic Losses
Spain Restores Power After Unprecedented Nationwide Blackout
Carney Secures Liberal Mandate in Canada’s Federal Election
Death Penalty Sought as Luigi Manion Pleads Not Guilty in CEO Murder Case
President Trump contacts Jeff Bezos after reports of Amazon considering listing tariff surcharges; company clarifies no such plan for main platform
Spain and Portugal Recover from Massive Blackout
Liverpool Clinches Record-Equalling 20th English League Title Under Arne Slot
Singapore Politicians Warn Against Foreign Interference in Election
×