Tesco and Asda to payout £130m in sharesave giveaway

Tesco is set to payout more than £92m from its shares to success scheme to almost 193,000 employees and ore than 17,000 ASDA employees are set to benefit from a £37.5m sharesave plan payout.

Tesco operations personnel director Hayley Tatum said: "Our staff do great job for our customers and shares in success is our way of saying thank you to our staff for their continued hard work and commitment to the business.

"This is just one part of the pay and benefits package that makes Tesco a great place to work for our employees."

ASDA said employees who had saved £250 every month for a three-year period could take home as much as £12,700 – increasing their £9000 investment by £3700.

It said the company’s shares had remained stable despite market volatility.

ASDA chief executive Andy Bond said: "Since 1994, over 200,000 colleagues had benefited from ASDA sharesave.

"It’s our colleagues that drive the success of our business and sharesave ensures they also reap the rewards."

ASDA’s sharesave plan started 26 years ago and was designed to give employees a stake in the company and a chance to share in the success of the business.

Employees can save between £5 to £250 a month, and at the end of their saving period they gain a tax free bonus and an opportunity to buy Wal-Mart shares at a discount of 20pc.

Ifs ProShare head of public affairs Phil Hall added: "Employee share plans are a simple but effective method of tax efficient saving, with employees gaining a stake in the company they work for and the opportunity to share in the financial successes of their employer."