The John Lewis Partnership will award staff a bonus payment for the first time in four years, with employees set to receive a 2% payout after the group reported full‑year profits of £134 million.
According to the partnership, which runs 36 John Lewis department stores and 320 Waitrose supermarkets, total sales rose to £13.4 billion, a 5% increase on the previous year. Operating profit margin improved to 2.1%, while cash generated from operations reached £595 million, £63 million more than the year before.
Profit before tax, bonus and exceptional items climbed to £134 million, up from £126 million in 2024.
The organisation did not pay a bonus under its profit share arrangement in 2021 during the Covid-19 pandemic for the first time since 1953. It returned briefly in 2022 at 3%, but no payment was issued between 2023 and 2025.
Jason Tarry, chairman of the John Lewis Partnership, said the group’s long‑term strategy to strengthen its brands and customer offer was delivering results, with rising customer numbers and record satisfaction levels.
“Despite a subdued market, a challenging lead into the crucial peak period and increased taxes, we took the decision to continue investing in the business, and have delivered cash and profit growth. There is much still to do, but our growing cash generation and strong balance sheet enable us to invest more in our brands and our partners to improve the experience for our customers. I’m really grateful for the commitment and passion our partners bring and, alongside our continued investment in partner pay, we’re pleased to be in a position to award a 2% partnership bonus. We remain on track to make further progress this year.”
The partnership’s most generous bonus was 24%, awarded in 1979, 1987 and 1988. Before the 2008 financial crisis, payouts reached 20%.
In February, the group confirmed that full‑time frontline staff working in John Lewis and Waitrose stores will receive a 6.9% pay rise from 1 April. Minimum hourly pay will rise to £13.25 nationwide and £14.80 in London.
This article is based on a piece written for Personnel Today
