Virgin Money has informed its employees that they will be rewarded with a cost of living payment in their August payslip.

78% of staff members – those who earn £50,000 or less – who are eligible were told that they would receive £1000. 

The business told Reward Strategy that the payment is not bonus brought forward or connected in any way with the annual pay review, plus it isn’t paid pro-rata’d for part-time workers. 

This also follows on from the average increase of five percent to base salary at the start of 2022 for the workforce. 

Plus, it also couples with the firm’s flexible working policy A Life More Virgin, which includes 30 days of annual leave, as well as five wellbeing days. 

Virgin Money shared that the one-off payment it is making falls alongside other non-financial ways the business has tried to help employees, such as advice and guidance on financial wellbeing and managing money.

In an internal communication sent to staff, David Duffy, chief executive officer of Virgin Money, shared that the business and the leadership team is aware that many “colleagues are experiencing additional pressure on their finances”. 

Outlining how Virgin Money has helped its colleagues, Duffy explained: “We’ve introduced a number of ways to help colleagues through this year, including the new My Money webinars. These complement the financial wellbeing guidance and the additional benefits already available to colleagues, such as the discounts on high street and supermarket brands on offer through Virgin Tribe. 

“Earlier this year, we also acted to provide an average uplift of five percent in base salary for colleagues and to launch A Life More Virgin (ALMV). As well as giving colleagues five new wellbeing days, ALMV also provides more flexibility, which includes how often you make use of our hubs, and greater choice in how to take the Flex Allowance for colleagues who receive that.”

He noted that because the company is driven by “our purpose…now is the right time to make a special one-off payment”.

Employees will receive the payment on 19 August, alongside their August pay, which will be subject to payroll deductions.

Staff will also have the option to pay all or part of the payment into their My Retirement pension plan. 

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