In 2017, Target was among the first businesses to declare that it would pay its retail workers a minimum of $15 an hour. The goal was to boost the starting wage by 2020.
After that, other stores also raised their starting pay. For instance, Best Buy and Amazon now offer at least $15 per hour, while Costco has a starting wage of $17 per hour.
Now, Target is once again planning to raise the starting wage for its employees. This time they are outdoing their rivals by saying they will pay up to $24 an hour.
However, not every retail worker will automatically get this increase in salary. The new starting wage will vary based on the market and specific job roles. Target hasn’t revealed which markets or positions will see this pay rise.
Target’s CEO Brian Cornell mentioned to The Associated Press, “The market has changed. We want to keep our leading position in the industry.”
A jump from $15 to $24 is quite a big deal but that’s not all they’re changing! Target is also improving access to health care benefits.
Beforehand, store workers needed to work at least 30 hours each week for health care coverage but now it’s being lowered to just 25 hours weekly! Plus, they’re cutting down on how long employees have to wait for their health care benefits.
In a press release, Melissa Kremer who is Target’s chief human resources officer said: “Our team is central to our strategy and success; their energy and strength help us meet our guests’ changing needs year after year. We always listen closely so we can understand what matters most then use that feedback for investments that support them through different career stages.”
Kremer continued: “We want all team members better off working at Target; years of investing in our caring culture meaningful pay expanded health care benefits and growth opportunities have been key in helping them build fulfilling careers.”
With around 350000 employees and about 1900 stores nationwide ,Target plans on investing roughly $300 million into its workforce in 2022 with these salary increases & added benefits!
Do you think other retailers might follow suit by raising their wages? Will a starting rate of $24 attract more job seekers towards Target?
