Walmart is boosting starting wages, providing a one-time bonus for employees and expanding benefits, the company said in a press release on Thursday, citing the tax cuts signed into law by President Trump last year. The plan benefits more than a million employees, the company told Axios.
Details: The bonus is based on length of service, with those who’ve worked 20 years eligible for $1,000. The company, which is the largest private employer in the U.S. and employs roughly 2.2 million people worldwide, is also raising its starting wage to $11 an hour. The current starting wage for store associates is $9 an hour. The company also said it plans to expand its maternity and paternity leave benefits.
We are on our way to wage growth and its companion, inflation. And not happening because of a government mandate. It’s happening because of a blossoming economy.
This is great news! It will interesting to see how many othe businesses will be following suit. Kevin maybe has an idea how fast food employees will be impacted by the tax reform change.
In regards to Walmart I question why they abruptly closed 65 Sam’s Club stores, and if the closures help defray the cost of bonuses and pay hikes.
Walmart closed their Neighborhood Markets so this does not seem to be an unusual move for a smart business move when markets change. Sadly, Walmart can do no right so I would expect they will be skewered for this move.
Pat,
Given that standard deduction is being increased by a ton, my employees will be impacted positively. I have one employee, where I looked at their state and Federal withholding and it was about $3200. Under old tax law, they get about $2200 of that back, under new tax law, they get it ALL back.
I support repeal of income tax alltogether.
So you’ll be giving nothing to your employees as far wage increases and a one time bonus?
It’s Kevin’s business what he pays out.
If you don’t like it, open your own DQ and poach those employees. I don’t know if they’ll take your EBT for the franchise fee.
It is great to see Walmart paying higher wages and a bonus. But perhaps it is because they can’t get folks to apply. Up here the local Aldi’s is paying $12/hour to start.
“It’s Kevin’s business what he pays out.”
It is. And I support Kevin as far as him paying his employees as he sees fit.
I also see fit that any business, liberal or conservative, doing the same without being shamed.
Then start your own mediocre blog so we can shit on it.
“Then start your own mediocre blog so we can shit on it.”
Like you do on this one???