Walmart Raises Minimum Wage To $14 An Hour For 1.5-M Workers

Walmart, America’s largest private employer, said Tuesday that it will raise its minimum wage from $12 to $14 an hour as it tries to retain store and warehouse workers in a tight labor market for lower-wage industries, Nathaniel; Meyersohn reported for CNN Business.

Photo Insert: For decades, Walmart has been a target of criticism from labor groups for low pay, but it has been raising wages in recent years.

The company has 1.7 million workers in the United States, 94% of whom are hourly employees, according to its latest annual securities filing. The company hired hundreds of thousands of workers during the COVID-19 pandemic to meet strong consumer demand for groceries and other goods.

In many areas of the country, particularly southern states that have not adopted higher wage laws, Walmart’s starting wage often serves as the local minimum wage.

The company’s move is likely to have a ripple effect across the service industry.

For decades, Walmart has been a target of criticism from labor groups for low pay, but it has been raising wages in recent years. Its latest move will close the gap with Amazon, Target, Costco, and other rivals.

Amazon and Target have a $15 minimum wage, while Costco starts at $17 an hour. The federal minimum wage has been $7.25 an hour since 2009. Washington State has the highest minimum wage in the country at $15.74.

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