CO-OP Bank has revealed it will give out £1,000 pay boosts to its staff in a bid to help them through the cost of living crisis.
The bank said it would give 95% of its employees the boost, starting from September.
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Co-op Bank is the latest company to dish out pay boosts to its staff, after Lloyds Bank announced a similar cash boost for staff last month.
The group told The Sun all those earning up to £80,000 a year would get the salary increase – only those on the highest salaries would not.
The cash boost will land in staff members’ September pay packets.
The Co-op Bank already paid a one-off boost of £300 to staff earning up to £30,000 per annum earlier this year to help them cope with soaring energy, food and fuel bills.
But the £1,000 will be a permanent pay boost, given to roughly 2,660 of Co-op Bank’s 2,800 employees.
It comes after its half-year results show pre-tax profits rebounded to £61.9million from £21.4million a year earlier.
This week, economists warned inflation could hit 15% by the end of the year, leaving millions struggling with food, petrol and bill prices.
Co-operative chief executive Nick Slape said: “We remain committed to helping customers and colleagues during these challenging times and services are available to anyone requiring support.”
The group is acting from the transformation plan it launched after being rescued by a group of hedge funds in 2017.
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It said: “We have made substantial progress in the first half of 2022 with ongoing profitability and through strengthening of the bank’s capital position with a further capital issuance.
“Whilst there remains intense competition in the mortgage market and tightening of margins, the base rate rises have supported an improvement in deposit margins.”
But it said: “There is still a lot to do as we now look towards the second half of 2022.”
After the latest inflation news, there are fears that soaring costs could hit the economy and plunge the country into recession.
Although a separate entity from the bank, Co-op cut 400 jobs last week amid “rising inflation“.
Co-op Group is mostly known for its supermarkets – but the majority of roles being cut are from the company’s head office in Manchester.
Meanwhile, TSB also handed out a cost of living bonus to thousands of staff as many desperately need support with bills and essentials.
The announcement came this week as ONS statistics show that 89% of people are experiencing a rise in living costs – up from 62% in November last year.
4,500 TSB staff will be given the financial support while supermarket firm Aldi will give 26,000 workers their second pay rise since the start of the year.
The £1,000 bonus will be given to all workers at TSB earning £35,000 or less – regardless of whether they work full or part time.
