Tesco strike threat recedes after improved offer

More than 1,000 members of the Unite union had planned to strike after Tesco offered them a below-inflation pay increase of 4%. The strike would have left stores short of products during Tesco's peak trading period, the union warned.

Unite said on Wednesday that its threat had prompted fresh talks resulting in a 5.5% increase backdated to July with an extra 0.5% from February. The workers are based in Antrim and Belfast in Northern Ireland and Didcot and Doncaster in England.

Tesco has also agreed to a "formal dialogue" to create a single pay scale for all the work carried out at the distribution centres and workers in Doncaster and Belfast will have improved terms, Unite said. Members will vote on the deal, which the union has recommended.

Unite national officer Adrian Jones said: “From the beginning of this dispute Unite has been clear that Tesco could afford to make a more generous offer and that has proved to be the case. It is now up to Unite’s members to decide if the proposed deal meets their expectations.”

Tesco still faces potential strikes by Unite members at a distribution centre in Livingstone, Scotland, and warehouse workers who are members of the Usdaw shopworkers' union. Talks about these disputes will be held in the next few days, Unite said.