Around 135,000 workers at supermarket giant Sainsbury's are to receive a 4.4% pay rise, taking their basic wage rate to £8 an hour.
The increase, payable from the end of August, makes it the third consecutive year of rises above 4%.
Workers have also shared a bonus of around £78 million this year.
Mike Coupe, chief executive of Sainsbury's, said: "We're pleased to announce a 4.4% pay increase for colleagues working in Sainsbury's stores across the country.
"This is the third successive year that we have awarded eligible store colleagues a pay rise of 4% or more and recognises their hard work and dedication.
"We know what a difference this makes to our customers and we're committed to rewarding them well for the great service they provide."
A "small number" of workers are on a different pay structure for historical reasons, and will not receive this rise but the company said it will talk to them separately.
The announcement follows news that Sainsbury's is set to cut more than 1,000 jobs at its head office as part of an efficiency drive.