Big payouts for Tesco workers

THOUSANDS of Tesco workers have received staggering payouts of up to £49,000 from the company's save-as-you-earn scheme (SAYE).

More than 37,000 Tesco employees have been saving between £5 and £250 a month for either three years or five years. Both plans, based on investing in Tesco shares, matured on Friday, paying out £116m.

The impressive performance of Tesco shares has given an annual return of 27% for those who joined the scheme five years ago.

'This year's exceptional windfall is an excellent endorsement of SAYE‘s remarkable success. We encourage all our employees to join the scheme and reap the rewards of their contribution to our outstanding success,' said Sir Terry Leahy, chief executive.

Savers have the right to buy Tesco stock now based on the price - with a a 20% discount - when they started paying in. Therefore savers get to buy Tesco shares, now worth 240p, at either 83p for five-year savers or 136p for three-year savers.

An employee paying in a hefty £250 a month in the three-year scheme collected £16,739 while a worker in the five-year scheme received £48,835. A saver paying in a more typical £20 a month over five years received £3,906.