Wal-Mart strikes lawful, must reinstate workers: NLRB judge

In a statement, Wal-Mart said all employees hired before Jan 1, 2016 would earn at least $10 an hour, up from the $9 minimum.

The situation is in contrast to Costco, a smaller company than Wal-Mart with a host of other differences, but which pays its hourly store workers a living wage (well above minimum wage), offers good benefits, and enjoys a reputation for good customer service in stores.

Being the dominant player in terms of competitive pay and benefits, Wal-Mart is expected to implement latest short-term disability and simplified part time off (PTO) programs.

Full-time employees will earn an average of $13.38 an hour. The UFCW has tried for years to organize Wal-Mart workers and the hurdles remain high.

Workers can also get more coverage under a Short Term Disability Enhanced plan, up to 60 percent of their wages with no weekly caps for up to 26 weeks, which Walmart says costs less than a previous plan.

The National Labor Relations Board ruled that Wal-Mart Stores Inc. retaliated against workers for participating in strikes and must rehire 16 former employees, including seven in California.

Data from Bureau of Labor Statistics reveal retail workers in the US earned an average of $14.95 an hour in December, up 3.6% from a year earlier.

The company started raising its minimum wage last year to $9 an hour and had announced plans to lift its base pay again this year to $10. But Wal-Mart has been willing to take a hit to the bottom line.

Nine stores in Alabama are set to close: the Walmart Supercenter in Fairfield and Walmart Express locations in Grant, Headland, Ashford, Slocomb, Abbeville, Gurley, Snead and New Hope.

“We’re seeing strong increases in both customer experience and associate engagement scores”, Judith McKenna, chief operating officer for Wal-Mart’s USA operations, said in the statement. The new average full-time hourly wage for Wal-Mart associates in Alabama will be $13.12 per hour and $10.40 per hour for part-timers. The company’s pay increase decision reflects the problems being faced by employers to attract employees through wages, amid decline in unemployment rates.

Matching Wal-Mart’s $10 wage would cost some of the retail industry’s largest companies an extra $4 billion over what they paid workers in 2014, according to an analysis by the Hay Group of 100 chains employing 5 million sales people. According to USA Today, more Walmart shoppers are likely to vote for Trump despite his belief that wages do not need to increase and workers need to “work really hard” to rise up out of poverty.

The stores will close January 28, resulting in a loss of between 500 and 600 jobs in Alabama.