Walmart to Raise Starting Wage to $11

The world's largest private employer is boosting its minimum wage.

By Megan Trimble, Associate Editor, Social Media |Jan. 11, 2018, at 11:06 a.m.


Walmart to Raise Starting Wage to $11


The world's largest private employer, Walmart, is expected to soon boost its starting wage to $11 in the wake of the GOP's recent passage of a sweeping federal tax overhaul.

The major retailer announced Thursday that it will increase the starting salary for all hourly U.S. employees, distribute a one-time cash bonus based on time with the company and expand maternity and parental leave benefits. The company said the changes will
effect roughly 1 million hourly workers, and that the "lower business tax rate" was the impetus for the change. The new tax code slashes the corporate tax rate from 35 percent to 21 percent.

View image on Twitter

Walmart

✔@Walmart


Excited to share some news today! We’re raising our starting wage for all hourly associates in the U.S., expanding benefits & offering a one-time bonus! Learn more from CEO Doug McMillon: http://bit.ly/2DilSzT
6:33 AM - Jan 11, 2018



"Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the U.S.," CEO Doug McMillon said in a prepared statement.

President Donald Trump signed the Republicans' massive $1.5 trillion tax cut package last month, marking one of the largest legislative victory so far in his presidency. Analysts say the tax package is one of the largest since tax cuts enacted under former President Ronald Reagan in the 1980s.


Walmart workers currently start at a $9 wage. The change, which benefits all hourly U.S. workers within its stores, Sam's Clubs, eCommerce, logistics and home office, will take effect in February, the company said.

Walmart said the one-time bonus for eligible full-time and part-time hourly U.S. employees will range from $200 to $1,000. The payouts will total about $400 million and the company will take the one-time charge in the fourth quarter of this year.

Walmart's expanded benefits for full-time hourly U.S. workers will include 10 weeks of paid maternity leave and 6 weeks of paid parental leave. The expanded parental leave will also include parents who adopt, and offer them $5,000 to help cover the costs.


McMillon said the company is in the early stages of "assessing the opportunities tax reform creates" and Walmart will continue to determine "what additional investments are needed" as it moves forward.

https://www.usnews.com/news/national...leave-benefits