Jan 18, 2024 - Business

Walmart raising store manager and hourly worker pay

Walmart sign on store front with flag nearby

Walmart managers and hourly workers are set to get a pay raise Feb. 1. Photo: Victor J. Blue/Bloomberg via Getty Images

Walmart is increasing pay for store managers and said Thursday it will hike the current average manager salary from $117,000 to $128,000 starting Feb. 1.

Why it matters: The nation's largest private employer and largest retailer is hoping to attract and retain managers in a competitive labor market.

What's happening: Walmart announced Thursday it will also be redesigning its store manager bonus program, which will offer managers who hit all targets up to 200% of their base salary.

  • A store's profit will play a bigger role in calculating the bonus, Cedric Clark, executive vice president of store operations at Walmart's U.S. division, said in a blog post.
  • The pay range for managers will be $90,000 to $170,000, up from $65,000 to $170,000.

Meanwhile, Walmart said it is raising the average hourly wage for front-line hourly employees to $18 next month, up from $17.50.

  • 75% of store, club and supply chain management started as hourly associates, the company said.

Context: The retailer does not require college degrees for its store managers, who have an average salary and bonus compensation of $230,000, Axios' Nathan Bomey reported in November.

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