As a corollary to my earlier post about Trends in Leave Policies, I wanted to highlight two large companies who have committed to raising wages for their employees. Starbucks CEO Howard Schultz sent a letter to employees on Monday announcing that all employees and store managers in U.S. company-run stores will enjoy a base pay raise of 5 percent or more come October. These raises will affect employees in approximately 7,600 Starbucks locations in the United States.
Jamie Dimon, the CEO of JPMorgan Chase, wrote an op-ed in the New York Times today discussing the upcoming wage increases for JPMorgan Chase employees. The company currently honors a $10.15 hourly minimum wage for all of its American employees (the federal hourly minimum wage is $7.25, as is Iowa’s), which will increase to between $12 and $16.50/hour for 18,000 employees over the next three years.
Dimon cites rewards for both JPMorgan Chase and its employees as reasons for the wage increases:
“A pay increase is the right thing to do. . . . Above all, it enables more people to begin to share in the rewards of economic growth. And it’s good for our company, helping us attract and retain talented people in a competitive environment.”
Hats off to Starbucks and JPMorgan Chase! I hope more employers follow your lead in the near future.
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