Home Finance HC-One announces over £20m investment in colleague pay

HC-One announces over £20m investment in colleague pay

by Kirsty Kirsty

HC-One is once again investing significantly in its workforce, having announced an investment of over £20m in colleague pay and conditions for 2025.

With over 19,000 colleagues, HC-One employs the largest health and social care workforce outside of the NHS. Building upon HC-One’s 2024 pay investment, this year’s investment will mean that nearly 90% of all colleagues across its almost 300 care homes are earning the Real Living Wage or above, with all able to earn RLW or above after two years of service.

This year’s pay offer was developed in consultation with the recognised union for HC-One care colleagues, GMB, and overwhelmingly accepted by its members.

With this announcement, HC-One continues to deliver an above-inflation pay offer despite the challenges facing the UK economy and the social care sector, with the majority of HC-One’s care funded by its local authority and NHS partners.

In addition, HC-One worked closely with the GMB to further enhance its sick pay offer. From 1st October, the first three days of sick pay will be paid at £40 per day, more than double the government new statutory of £16.96. The move builds on HC-One’s 2024 announcement that sick pay would begin on day one of sickness, ensuring greater security and comfort for colleagues across the organisation.

HC-One’s 2025 pay investment also marks a significant milestone in the organisation’s commitment to improving colleague pay. Since 2021, HC-One has now invested over £110m into rewarding the commitment and tireless efforts of the people who care for over 14,000 residents across England, Scotland and Wales.  

James Tugendhat, Chief Executive at HC-One, said: 

“Our colleagues are at the heart of how we support and care for residents across Britain, and it is only right that we continue to do everything we can to reward them for the crucial work that they do.

“Despite the continued challenges facing the sector, we are immensely proud of our continued commitment to improving colleague pay and to have also made further improvements to sick pay. Our total investment in pay of over £110m in just 4 years marks a significant milestone for us, and we see the impact of this investment in our ever-improving retention rates.

“We are also continuing to engage with our local authority and NHS partners, who fund the majority of the residents we support, to secure fee uplifts that will enable us to go even further on colleague pay, as we continue to support those in our care to lead their best lives.”

HC-One’s significant investment in pay is in addition to further comprehensive investments across the organisation, including in HC-One’s digital transformation journey to further enhance care and support for residents, alongside HC-One’s refurbishment programme across 200+ of its homes, marking the largest care home upgrade programme in the NHS and Local Authority funded sector.

In February, HC-One was shortlisted as a finalist for the Residential Care Provider of the Year (Large Group) award at the 2025 HealthInvestor awards recognising the organisation’s commitment to investment and supporting residents to live their best lives.  

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