Wal-Mart Increasing Wages; Union Says It’s All Show

The vast majority of Wal-Mart’s USA employees will get raises as part of the world’s largest retailer’s previously announced commitment to invest in its workforce as it faces pressure from labor-backed groups and seeks to retain workers in a tighter labor force.

More than 1.2 million workers at Walmart and Sam’s Club will see a pay bump on February 20, in line with Walmart’s promise to bring its minimum hourly wage up to $10 this year.

The company said, the increase in wage which including the two percent raise for those who earn more than the minimum wage, will cost nearly $2.7 billion to the company in the fiscal year 2016 and 2017.

The new minimum pay level for the top-level hourly employees is likely to go up to $15 per hour, from the previous rate of $13, according to the company.

Full-time hourly employees’ average pay will rise from $12.96 to $13.38, while part-time employees’ average pay will hit $10.58 per hour, up from $10. The basic plan will pay 50 percent of a worker’s average weekly wage, up to $200, for up to 26 weeks.

“At least they are recognizing that the longtime workers who are already making more than $10 need something”, said Tyfani Faulkner, a former Wal-Mart employee and one of the leaders of OUR Walmart, a group seeking better wages and benefits for retail workers. The retailer loses about half a million store workers a year.

The company will close 154 locations in the USA, including the company’s 102 smallest format stores, Walmart Express, which had been in pilot since 2011.

Scott Dobroski, a career trends analyst at jobs website operator Glassdoor, said the raise and paid time off changes should help Walmart attract employees.

Walmart says PTO will be available to use as soon as its earned, and full-time hourly associates will be able to carry over up to 80 hours of PTO from year to year, while part time workers will be allowed to carry 48. Last June, Wal-Mart said it would increase starting wages for over 100,000 United States department managers.

The widespread wage increase came after complaints of some store workers who have been with the company for a very long time that the newly-hired workers are being paid more generously as compared to them.

Our customers and associates are noticing a difference. It’s a take down of the Walton family of Wal-Mart infamy (and its many predations) entitled “Save money, exploit the poor”. Previously, workers would just lose those days if they hadn’t taken them. You want to know the real impact of Walmart?

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