The Co-operative Group has revealed it plunged to a £75 million underlying pre-tax loss for the first half of the year, primarily due to an £80 million earnings hit from a “malicious” cyber attack in April.

This marks a significant downturn from the £3 million profit reported in the same period last year.

The retailer confirmed that the cyber incident, which led to widespread disruption including empty shelves and payment issues for shoppers, impacted sales by an estimated £206 million.

This directly contributed to the £80 million blow to earnings, a sum that also included £20 million of non-underlying one-off costs.

For the six months to July 5, the Co-op recorded a £32 million underlying operating loss, a sharp contrast to the £47 million earnings achieved a year earlier.

The group expects to face a continuing, though diminished, financial impact in the second half of its fiscal year.

Debbie White, chairwoman of the Co-op, said: “The first half of 2025 brought significant challenges, most notably from a malicious cyber attack.

“Our balance sheet strength and the magnificent response of our 53,000 colleagues enabled us to maintain vital services for our members and their communities.”

The Co-op said the hacking attempt was “sophisticated” but that it acted “quickly and decisively to temporarily shut down a number of systems to contain the threat”.

The group shut off parts of its IT systems after the attack, in which hackers accessed and extracted members’ personal data.

It confirmed in July that all 6.5 million members of the Co-op had their data stolen in the incident.

The group said previously that the hackers created a copy of one of the firm’s files but were unable to attack its platforms further and install planned ransomware.

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It said efforts following the incident included moves to keep essential services running, such as its funerals business, while prioritising stock to rural “lifeline” stores.

It also said it supported independent co-op societies and franchise partners to minimise disruption to them, while it offered its members a £10 discount off a £40 shop as a thank you for their support throughout the disruption.

Chief executive Shirine Khoury-Haq said: “The cyber attack highlighted many of our strengths.

“But more importantly, it also highlighted areas we need to focus on – particularly in our food business.

“We’ve already started on this journey, refining our member and customer proposition, making structural changes to our business, and setting our Co–op up for long-term success.”

New Delhi: The Union Cabinet has given its approval for a major Rs 1,865.68-crore Productivity Linked Bonus (PLB) to Indian Railways staff for the financial year 2024-25, calling it a festive season “Diwali gift” for lakhs of employees. More than 10.91 lakh non-gazetted workers, including track maintainers, loco pilots, train managers, station masters, supervisors, technicians and clerical staff will benefit from this decision. Under the scheme, each eligible employee will receive a bonus equivalent to 78 days’ wages, with the maximum payout capped at Rs 17,951 per person. Gazetted officers and senior administrative staff are excluded, restricting the benefit to Group ‘C’ non-gazetted categories.

Who Is Eligible and How Much Will They Get?

The PLB is specifically targeted at non-gazetted railway staff to reward their dedication and exceptional performance. Eligible employees across various departments will receive 78 days of wage-equivalent bonus, ensuring a meaningful addition to their earnings. This annual payout recognises the hard work of front-line staff while excluding higher-ranking gazetted officers and senior administrative personnel.

Bonus Timed Before Festivals to Boost Spending

This incentive is traditionally paid before Durga Puja and Dussehra, and the government is expected to credit the amount ahead of the festivals. By giving railway staff extra spending power at the start of the festive period, the measure is likely to boost retail, transport, and services sectors as workers use the bonus for shopping, travel, and household expenses. This well-timed bonus acts as both a reward and an economic stimulus.

Recognising Indian Railways’ Record Performance

The Cabinet linked the PLB to Indian Railways’ record-breaking performance in 2024-25, when it handled 1,614.90 million tonnes of freight and transported nearly 7.3 billion passengers. The government stated that the bonus acts not only as a reward for these achievements but also as a motivational tool to sustain high productivity and operational efficiency in the coming years.

Upcoming Dearness Allowance Hike Adds to Benefits

Adding to the festive cheer, the PLB announcement comes alongside reports that the Centre is preparing to announce the next Dearness Allowance (DA) hike in the first week of October. This would ensure employees receive the revised DA along with arrears in their September salary. DA and Dearness Relief (DR) are revised twice a year based on the All India Consumer Price Index (AICPI) and are taxable under existing income-tax rules.

8th Central Pay Commission in the Pipeline

Government employees are also watching developments on the 8th Central Pay Commission (CPC). Prime Minister Narendra Modi formally announced the new commission in January, with an intended rollout date of 1 January 2026. The framework for its constitution and terms of reference is still under discussion, and the process may soon be fast-tracked to give clarity to employees on their future pay structure.

Financial Boost and Economic Impact at a Glance

Overall, the Cabinet’s decision provides a double benefit — immediate financial relief for railway workers ahead of major festivals and a stimulus for the broader economy. It also recognises the crucial role of Indian Railways staff in delivering record levels of freight and passenger movement across the country, while motivating employees to maintain high standards of service and efficiency.

Last Updated:September 25, 2025, 10:32 IST

An old video of the Microsoft founder praising Indian techies’ contribution to his company presented a stark contrast to the US President Donald Trump’s decision.

US companies must pay $100,000 (Rs 88 lakh) per H-1B application. (Representative Image)

Amidst US President Donald Trump’s controversial crackdown on the H-1B visa, an old clip of Microsoft founder Bill Gates praising his Indian employees is gaining attention. In the video, Gates showers a group of Indian techies with glowing praise and appreciates their efforts in raising his company to new heights.

Microsoft head’s words and encouragement to Indian techies working in the US were widely appreciated on the Indian internet. He presented an alternative approach to Trump’s much-criticised ways after he announced a massive hike in H-1B visa fees to $100,000 (approximately, Rs 88,61,500).

Trump’s move originated from his nationalistic ideals and the “MAGA” (Make America Great Again) vision to provide Americans with more job opportunities by discouraging U.S.-based companies from hiring foreign nationals, regardless of their capabilities.

Bill Gates’ Old Video Praising 15 IIT Grads

The old video of Gates acknowledging the efforts of his Indian employees is from the speech the tech giant delivered at the Indian Institute of Technology (IIT) in Delhi in February 2024. During his speech, Gates recalled the early days of Microsoft, when the company was looking to boost its staff and eyeing world-class engineering talent. A senior colleague then came up with an unconventional idea: hire 15 IIT graduates from India, who would put their heart and soul into work if provided an opportunity.

“In a sense, my first connection with India came because of the IITs,” Gates says in the clip. “One of the great people who worked for me said that he would go over to India and hire about 15 people who had been students at IIT and that would strengthen Microsoft’s engineering capabilities.”

“At the time, we had only a few hundred people, but even so, it was so hard to find amazing engineers. I thought that was a good idea. At the time, the Indian press said it was a terrible thing because all these great people (engineers) were leaving their country. The US press said it was a terrible thing (with) all these people coming to another country. But I think now, over 25 years later, we can say that was a phenomenal thing.”

Bill Gates’ Speech Amid Immigration Debates On H-1B

In the revisited portion of his speech, Gates emphasised the criticism that came Microsoft’s way from US-based news platforms, who decried his team’s decision to hire skilled Indian engineers over American graduates. But the Microsoft founder is now glad he went ahead with the idea and calls it a turning point for his company.

Gates’ approach comes in stark contrast with that of Trump and the existing American regime, posing a major hurdle now for US-based companies in hiring India’s graduates and future working professionals. The move spread widespread disappointment among India’s tech students, who were hoping to fulfil their dream of securing a high-paying job in the US.

Buzz Staff

A team of writers at News18.com bring you stories on what’s creating the buzz on the Internet while exploring science, cricket, tech, gender, Bollywood, and culture.

A team of writers at News18.com bring you stories on what’s creating the buzz on the Internet while exploring science, cricket, tech, gender, Bollywood, and culture.

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