In this Nov. 5, 2020 file photo, a woman pushes a shopping cart to enter a Walmart in Rolling Meadows, Ill. (AP Photo/Nam Y. Huh, File)
Walmart Inc. is raising the starting base pay for store managers, while redesigning its bonus plan that will put more of an emphasis on profits for these leaders.
The moves, announced Thursday, will be effective Feb. 1. They come as the nation's largest retailer and largest private employer seeks to retain qualified managers and make clear to hourly workers that there's a path for upward mobility in a still highly competitive labor market. Roughly 75% of its store management started out as hourly workers, Walmart said.
Walmart said that the store managers' new starting annual base wage ranges will be from $90,000 to $170,000. Previously, the range was from $65,000 to $170,000. That means that the average base pay for store leaders will go to $128,000 from $117,00, according to Cedric Clark, executive vice president of store operations at Walmart's U.S. division.
The Bentonville, Arkansas-based retailer, which has more than 4,700 namesake stores in the U.S., is also redesigning its store manager bonus program, which had placed a bigger emphasis on sales over profits. With the new bonus plan, profits will play a bigger role in calculating manager's annual bonus. If the manager hits all targets, the bonus could now be as much as double the leader's base salary, said Clark, who started out as an hourly worker. Previously, it was up to one and half times the manager's base salary.
“They're at the forefront of everything we do,” he said. “We’re trying to create opportunities where they can continue to aspire.”
Clark also noted that driving profits to that store allows the company to continue to invest back in price, back to its workers.
Meanwhile, Walmart also said that average wages for hourly workers would exceed $18, up from $17.50. The increase is due to Walmart introducing some higher-paying hourly roles in its Auto Care Centers last year, among other changes, the company said.
Walmart announced in January 2023 that U.S. workers would get pay raises the following month, increasing starting wages to between $14 and $19 an hour. Starting wages had previously ranged between $12 and $18 an hour, depending on location.
After the 2021 boom, IPO activity slowed down significantly, in part due to monetary policy – but things are getting moving again with tech-friendly companies like Iboutta and Rubrik making a public debut.
With an increasing demand for mental health services, one person wanted to change the therapy game. In 2017, CEO Alex Katz founded Two Chairs, a company that uses technology to match patients with the right therapist.
Not only is April Financial Literacy Month, it’s also the kickoff of the spring homebuying season. So now is the time to make sure you have a financial plan in place – and why it might not be wise for that to include buying your first home.
While the U.S. may slowly be on the path to lowering inflation (and therefore interest rates), Europe has thoroughly trounced America, putting it on the path to lower rates by this summer.
April's release of the monthly Housing Starts and Building Permits reports by the Census Bureau provides crucial insights into the construction activity in the housing market. These reports are an economic indicator, shedding light on the current state of the housing market and its broader economic impact.
Caitlin Clark is heading to the Indiana Fever, the number one draft pick and the highest-scoring college basketball player of all time. And while she may not be getting millions from the WNBA, there's a few ways she'll net compensation for her generational talents.
Author of 'Clean Meat,' Paul Shapiro joins Cheddar to discuss how the cellular agricultural revolution helps lower rates of foodborne illness and greatly improves environmental sustainability. Plus, how his company The Better Meat Co. is bringing healthier food options to the table.
Recent headlines might make it sound like World War III is imminent, but when it comes to your finances, it's not the time to panic. The market is coming off its longest winning streak since 2011.
You may have noticed fewer new venture capital-backed startups (like Airbnb or Uber) lately. The market slowed to a crawl after 2021, but things are expected to take off again in 2025.
Corporate earnings season is underway, that time when companies share their billions in sales or double-digit profits. But the data shows even companies are struggling with high inflation and interest rates.