Next boss promises to forego bonus to subsidise staff pay rise

Lord Wolfson, CEO of Next, has promised to distribute his bonus amongst staff if there is not enough funding to enact his pledge to increase shop-floor wages by five per cent.

The pay rise will take the wage from £6.70 to £7.04, or £7.58 including bonuses. Next hopes to fund this pay increase by increasing sales and cutting costs.

In a letter to staff, he said “In the event there is a shortfall in funding, I have agreed with the board that any bonus I might be due in the year ahead will be used to help fill the gap.