Sports Direct has committed to pay its staff above the national minimum wage from January 1, 2016.
Sports Direct retail park
The retailer, which recently came under fire for its pay and employment practices, said it will increase pay for both directly employed UK employees and directly engaged casual workers.
The pay increase, estimated at around 15p per hour, is expected to benefit around 15,000 workers on zero-hour contracts in its stores and approximately 4,000 agency staff at the Shirebrook distribution centre.
It expects the move to come at a cost of approximately £10m on an annualised basis.
Sports Direct vowed to review all agency worker terms and conditions following claims the business “named and shamed” workers over a warehouse tannoy at its Shirebrook site and penalised ill staff earlier this month.