Wal-Mart plans to increase hourly pay to all of its U.S. workers to at least $9 per hour by this April. By next year they will raise their minimum wage to $10 per hour.
Wall Street Journal reports the increased rate of pay will beat the federal minimum wage by 24 percent and dig into Wal-Mart’s profits for the year.
About 500,000 workers will benefit from the increased wages, both full-time and part-time workers. There are 1.4 million Wal-Mart employees in the U.S.
Wal-Mart critics had argued that the company pays its workers too low, and their scheduling policies were too strict for part-time employees.
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Chief Executive Doug McMillon has been wanting to raise worker’s wages for months. He wanted to join companies like Gap and Costco who commit to paying their workers a fair rate of pay.
Wal-Mart plans to increase full-time workers pay to an average of $13 per hour. Part-time workers will be increased to $10 per hour. Wal-Mart did not detail their scheduling policies but said that they would become easier for part-time employees.
Some still do not think that the increase is enough. A group of people including some current Wal-Mart employees have been trying to get the wages to $15 per hour.
There has not been an increase in the federal minimum wage since 2009 when it was raised to $7.25. States have chosen to raise their minimum wages on their own. Seven states already require employers to pay their workers at least $9 per hour.
Wal-Mart had a good holiday season and reported a 1.5 percent increase in sales. What do you think of Wal-Mart’s plans to increase wages to its workers? Will this help employees stay happy at their jobs at Wal-Mart?
–Courtesy of Latin Post