Costco to Raise Hourly Pay for Most U.S. Store Workers to Over $30
Costco Wholesale (COST.O) is set to increase wages for most of its hourly U.S. store employees, raising top-tier worker pay beyond $30 per hour, according to a company memo shared with employees this week.
Pay Increase Details
- The wage increase will be implemented gradually over the next three years.
- In the first year, top-of-the-scale employees will see a $1 increase to $30.20 per hour.
- Over the following two years, wages will continue to rise by $1 per year.
- Entry-level employees will also receive a 50-cent increase, bringing their hourly pay to $20.
Union Pressure & Negotiations
The decision follows growing pressure from Costco Teamsters union members, who recently voted in favor of a nationwide strike.
- Earlier this month, 85% of union members voted to authorize the strike ahead of a Jan. 31 contract deadline.
- The Teamsters union represents more than 18,000 Costco workers across the U.S.
Company Statement
Costco remains confident that its wages and benefits will continue to outpace competitors in the retail industry.
“With these changes, we believe our hourly wages and benefits will continue to far outpace others in the retail industry,” CEO Ron Vachris stated in the memo.
This wage adjustment solidifies Costco’s reputation for offering some of the highest pay and benefits in the retail sector.