Walmart is handing out weekly bonuses to warehouse employees scheduled to work over the holidays, CNBC reports.
With the holidays looming and the labor market tightens, Walmart spokesman Scott Pope says the retail giant is promising up to $200 of additional pay per week for full-time workers with potential for more if they work overtime. The new policy has been in effect from the start of August and will continue through the fiscal year for the majority of the company’s facilities.
Walmart’s warehouse employees make an average of $20.37 an hour, significantly higher than the average store associate salary of $15.25 per hour.
The additional pay is meant to keep the company ahead of the holiday shopping season rush by keeping workers on site to ensure that store shelves and warehouses remain stocked. The rising year-over-year sales during the pandemic have uncovered logistics issues that Walmart is hoping to get around this year. And as the delta variant continues to wreak havoc across the world, more and more shoppers are expected to opt for online shopping or parking lot pick-up over visiting a retail location.
Walmart is the largest private employer in the United States with more than 1.6 million employees on its payroll. This move to step up pay is one that a growing number of retailers and restaurants — including major chains like Target and CVS Health — have taken in order to improve recruitment and keep employee retention up. As the economy re-opens, many companies have spoken out on their difficulties finding workers to fill job vacancies, attributing the shortage to Covid concerns, a lack of on-site child care services, and unemployment payments.
The company already offers a support program for employees working toward a college degree. Walmart will pay 100% of the cost of college tuition and textbooks.