Costco raised its minimum wage to $17 an hour
Source: CNN
New York (CNN Business)Costco this week raised its starting wage for hourly store workers in the United States for the second time this year as businesses hike pay to draw and retain workers amid a labor shortage.
Costco (COST) told employees last week that it would increase its minimum wage from $16 an hour to $17 starting on Monday. Costco has around 180,000 US employees, and 90% of them work hourly. Costco's new starting wage puts the chain which has among the lowest turnover rates in the retail industry $2 per hour above Amazon (AMZN), Target (TGT) and other top retailers' minimum wage, and $5 an hour above Walmart's (WMT).
Costco's latest pay bump comes as many retailers, restaurants and other service sector employers raise pay, offer signing bonuses and sweeten their benefits packages in response to struggles hiring workers.
Costco raised its minimum wage to $14 in 2018 and $15 in 2019. In February, the Issaquah, Washington-based company hiked it to $16 an hour. Business Insider first reported its most recent increase.
Read more: https://www.cnn.com/2021/10/27/business/costco-minimum-wage/index.html
ms liberty
(8,597 posts)revmclaren
(2,529 posts)a few weeks ago. He's thrilled to be working there.
Sherman A1
(38,958 posts)Steelrolled
(2,022 posts)which can make the entire store run smoother. Even though they are a warehouse store, customer service seems really good.
Lemon Lyman
(1,351 posts)And they have very low turnover, which saves them money. People want to work there. They enjoy working there. Costco doesn't have to constantly train new people b/c they're losing their old people.
dweller
(23,661 posts)for bus drivers with a 4K sign on (stepped with meeting criteria)
and 40 hr workweek
they must be really short handed
✌🏻
Enter stage left
(3,398 posts)We shop there whenever we need paper products, OTC meds, steaks (they're huge, but OMG they're good) and electronics, glasses, hearing aids, rotisserie chicken, left-overs from their rotisserie chicken...do you get the picture?
LOVE COSTCO, haven't been in a SAM's store in almost 7 years.
PennyC
(2,302 posts)One is opening next month in my area and I wasn't sure I should sign up. YES!
hamsterjill
(15,224 posts)I buy it at Costco. Love that store.
bucolic_frolic
(43,287 posts)Still think workers just hopped off, found a cheaper more efficient way to live as well as work a home gig, and don't want back on the rat race.
Steelrolled
(2,022 posts)some money banked, and don't see a reason to go back to work. Probably not what I would have done back in the day, but I can't blame them.
Withywindle
(9,988 posts)They were some of the highest death rates by profession pre-vaccine.
Ishoutandscream2
(6,663 posts)Wish I could recommend this.
BigmanPigman
(51,627 posts)It's about time workers are beginning to get some of their true worth recognized and valued. The unions making a come back with clout gives me short term hope. The police unions do not fall into this group in my opinion. Their unions are all about anti-vax these days, not about better pay.
Hamlette
(15,412 posts)21 for for 2021 was the headline. Say they are on their way to $25
https://newsroom.bankofamerica.com/content/newsroom/press-releases/2021/10/bank-of-america-increases-us-minimum-hourly-wage-to--21-as-next-.html
cstanleytech
(26,319 posts)By that I mean will they reduce the number of employees they have by reducing new hires? Will they cut hours? Benefits?
I know, its pretty jaded of me to assume they will do this but history has shown that when companies make such accouncements they plan on screwing the employees one way or another like Walmart has done for decades.
Heck even Publix is doing it as when they made their raise announcement they paid for it by doing away with quarterly bonuses for employees and changed it so instead of 2 potential raises a year employees only get one potential one.
Withywindle
(9,988 posts)But when people apply for the jobs, they don't actually hire anyone.
They want to keep on squeezing their remaining workers for insane hours, and also apply for government bailouts, and also push the narrative further right because "we can't find workers, oh no, lazy people don't want to work."
cstanleytech
(26,319 posts)Polybius
(15,476 posts)They notoriously don't give workers more than 40 hours unless it's an emergency. They do everything they can to avoid paying time and a half.
Dyedinthewoolliberal
(15,589 posts)you work Sunday then you get time and a half. I was hired 2 weeks ago as a seasonal employee. I'm 71, retired in June and a long time union member and delegate in my workplace. They are doing lots of thigs right to prevent people from thinking they need a union.
Hortensis
(58,785 posts)some stupid-mean people do out of uberpartisan spite and usual practices.
Certainly, if a professional manager wasted resources that way, risking bad PR and even potential liability and/or legal exposures, he or she'd almost certainly be fired. That's not what they're paid for. In fact, as I recall, one we heard of here was as soon as his stupid-mean bragging got back to the business's owner.
Torchlight
(3,361 posts)Costco's last two minimum wage increases were not coupled with a reduction in employee hours or benefits, nor did it reduce net workforce.
Given this is the second wage increase this year alone, and that gross number of full-time employees has risen every since 2011, maybe the company's management just believes employee turnover is a greater cost than increasing their minimum wage.
cstanleytech
(26,319 posts)before the Walton kids took over.
Torchlight
(3,361 posts)A=B=C so X?
cstanleytech
(26,319 posts)Torchlight
(3,361 posts)only that employee retention might be more cost effective.
That's why your responses are puzzling to me; your arguments are against a point I didn't make and that you asserted without any real corroboration.
JanMichael
(24,890 posts)Plus full health insurance and other benefits.
This has been the case for a long time. Costco has always been a good employer.
EDIT - I emailed Costco 5 or more years ago asking if the founders principles of good employment would continue when he retires and they said that was a condition that would always be met as long as they existed.
gademocrat7
(10,669 posts)Costco is my favorite store.
The Jungle 1
(4,552 posts)It is all about me.
madville
(7,412 posts)The Buc-Cees gas station near me pays their janitor and car wash attendant positions $17 an hour to start. Its $18 an hour for cashiers. With inflation, rent increases, and gas/grocery prices taking all these gains and more its like were right back where we started or worse.
Mysterian
(4,593 posts)I joined, even though I'm 90 minutes and two mountains away from the nearest warehouse. I have a very good impression of Costco and I want to suport it.
OriginalGeek
(12,132 posts)we were recently considering moving to a 55+ community that's about an hour away and all I could think of was that's a 2 hour drive there and back every other week and mighty inconvenient to get my weekly gas fill-up.
We eventually decided not to move there and that was not part of the decision as I had already decided it would still be worth the trip.
Instead we're building a house near downtown and nearer our kids and grandkids and we'll only be 15 minutes away from Costco. win win!