Aston Martin to hike pay for thousands of UK workers

Aston Martin will raise annual pay for thousands of workers across the UK after reaching a new long-term agreement following union talks. 

The British luxury carmaker will increase pay by 4 per cent to more than 2,500 employees and contractors across its UK manufacturing sites and offices for 2024 and 2025.

All eligible employees will also receive a one-off payment of £1,000 due to the continued high cost of living, while manufacturing technicians will receive a 1.5 per cent pay rise in 2025 alongside a one hour reduction in the working week.

In a statement, a spokesperson for Unite said: ‘Following lengthy negotiations between Unite the Union and Aston Martin Lagonda, Unite members have voted in large majority to accept the two-year pay deal.’

Simon Smith, chief people officer of Aston Martin, added: ‘Achieved through our positive working relationship with trade union colleagues, this new agreement recognises our commitment to putting people at the very heart of our organisation and making Aston Martin a great place to work. 

‘It builds on our continued support for colleagues with the high cost of living and throughout the Covid-19 pandemic.

‘In addition to rewarding our skilled and dedicated employees, this agreement also promotes talent retention, providing labour certainty for the business as we enter an important period of production, with the ramp up of new models that will support the company’s financial goals in 2024 and beyond.’

The pay deal comes as in a shake-up of its operations, Aston Martin has been winding down production on certain models, while gearing up to release new ones.

Aston Martin last month posted a larger-than-anticipated loss, amid a 63 per cent fall in sales of its lucrative DBX SUV.

The company maintained its 2024 outlook and reported an adjusted pre-tax loss of £111million for the three months ending 31 March, against a loss of £57million a year ago.

Aston Martin’s total average selling price for the period was £253,000, up from £213,000 a year ago, boosted by ‘specials’ deliveries of the £3.5million Aston Martin Valkyrie Spider and its old-school £1.5million Valour supercar.