Walmart Is Raising Its Minimum Wage, Still Lower Than Its Rivals

While some companies are bracing for several more months of an unstable economy by implementing massive layoffs, Walmart is looking to boost its position in the labor market. Beginning in February 2023, Walmart will raise its minimum wage for hourly employees.

Walmart’s move to bump its minimum wage up from the $12 it has been set at since 2021 stems from the retailer wanting to attract and keep workers given the state of the workforce. How much is Walmart increasing its minimum wage and who will benefit from the boost?

On Jan. 24, 2023, Walmart CEO John Furner announced in a memo to U.S.-based Walmart employees that the company would be implementing the increase in minimum wage in February 2023. Furner said the raises are expected to bring the company’s average hourly wage to more than $17.50.

Walmart employees impacted by the minimum wage increase can expect to see the raise in their March 2 paychecks.

In addition to raising the minimum wage from $12 to $14 for hourly employees, Furner said the private retailer will also be creating higher-paying jobs at its auto centers. Walmart will also be expanding its Associate-Driver Program, which covers costs for individuals to obtain their commercial driver's license and work as a .

This position pays up to $110,000 for the first year of work, as noted in the memo.

Walmart’s move to increase its minimum wage comes at a time when unemployment rates are high but wages are somewhat low. Although most Walmart employees will soon make anywhere between $14 and $19, the company's minimum wage is still below its rivals. Target starts off its hourly employees with $15.

If you’re considering applying for a Walmart position, these are the jobs that currently pay the most per hour, according to PayScale data:

• Quality assurance manager, $19–$34 per hour
• Production supervisor, $16–$33
• Production team leader, $17–$31
• Customer service advisor, $11–$26
• Crew leader, $9–$27
• Maintenance technician, $12–$34
• Staff pharmacist, $44–$67
• Customer service team leader, $12–$24
• Unloader and loader, $12–$25

Keep in mind that these rates don't take into account Walmart’s decision to increase its base pay from $12 to $14 nor do they account for the location where you are applying.

In addition to offering competitive wages, Walmart does offer bonuses around the holidays. In 2022, Walmart handed out holiday bonuses to full-time hourly and OTR driver associates. Here’s a look at Walmart’s 2022 holiday bonus schedule:

• $200 to those who worked 31 years or more at Walmart.
• $150 to those who worked between 26 years and 30 years.
• $125 to those employed between 21 years and 25 years.

Anyone who worked less than the timeframes noted above received a bonus based on their tenure with the company. As for part-time employees, they received $20 each. Although the amounts may not seem significant, keep in mind that Walmart does employ over 1 million people in the U.S. alone.

We imagine some current Walmart employees are stoked to hear their March 2023 paychecks will be higher, but the increase isn’t enough to impress everybody. Here’s what a few people had to say via Twitter.

Despite the criticism, Walmart believes the move to increase its minimum wage will give it a leg up in the labor market.