Walmart has announced that more than 1.2 million of its employees in the US are going to receive a pay rise from February 20 of this year, as part of the second phase of the company’s $2.7 billion investment in its workers.
The global retailer has described the plan as ‘one of the largest single-day, private-sector pay increases ever’, with chief operating officer Judith McKenna commenting, “We are committed to investing in our associates and to continuing to simplify our business.”
From February 20, all associates employed before January 1, 2016 at Walmart and Sam’s Club in the US will earn at least $10 per hour, with new entry-level workers set to earn $9 per hour.
Those already earning an hourly rate of more than $10 will receive their annual pay rise on the same date as the other pay increases, instead of having to wait for their anniversary with the company.
Walmart and Sam’s Club have also simplified their Paid Time Off policy with changes that come into effect in March. Paid vacation, sick time, personal time and holiday time will be streamlined into one category, while the one-day wait to use sick time will be eliminated.
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.
Any unused hours at the end of the year above the 80- and 48-hour limits will be paid to hourly associates in their first paycheck every February, and associates will also keep any existing and accrued sick and personal time. These balances will be kept separate, to be used for certain circumstances once all available PTO is used.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Jenny Whelan. To subscribe to ESM: The European Supermarket Magazine, click here.
