John Lewis expected to raise staff bonus as profits hit £415m

Kasmira Jefford
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THE JOHN LEWIS Partnership is expected to announce an increase in its staff bonus pot for the first time in two years this week alongside a strong set of results that will cement the group’s place as one of last year’s retail winners.

Analysts predict the department store group will reward the 81,000 employees that own the company with a payout of around 15 to 16 per cent of each worker’s annual salary – equal to around £200m.

The company, which also owns supermarket chain Waitrose, last year reduced the size of payouts to workers for the first time since 2009 to 14 per cent of annual salary after what chairman Charlie Mayfield called one of the toughest years for the high street.

But the group fared better than most of its rivals in 2012, with both John Lewis and Waitrose reporting record Christmas sales.

Independent retail analyst Nick Bubb said he expected John Lewis to post a 17 per cent rise in pre-tax profits to £415m, with overall sales up 10 per cent to £8.5bn in the year to January.

The firm also announced plans last week to spend £32m revamping stores this year.