Prezzo has announced it will give its staff a pay rise next month and close all of its restaurants on Boxing Day.
The Italian-themed restaurant chain said all 2,500 staff would see their wages go up by an average of 4%.
It is the latest firm to announce such a move as the sector tries to retain workers and attract new staff amid a recruitment crisis.
Prezzo also said it had introduced development plans to "encourage" people to pursue careers with the company.
"As a result of the increases, every Prezzo team member will be paid above the national minimum wage," a statement said.
The plan will also see the wages of its managers increased by an average of 5%. joker gaming
Several other firms have made similar announcements as they attempt to retain staff and recruit new workers with better pay and perks.
Last week, Asian food chain Itsu announced it was giving all in-store workers an 11% wage increase, while coffee chain Costa said it was handing out a 5% pay rise for 14,500 staff working at its company-owned stores in the UK.
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