Another major retailer boosts workers wages

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WKBN.com 04 August, 2021 - 08:07am 13 views

CVS Health raises 2021 earnings outlook

Reuters 04 August, 2021 - 09:10pm

CVS To Increase Hourly Minimum Wage To $15

CBS Los Angeles 04 August, 2021 - 09:10pm

CVS, Costco, and other companies paying at least $15 an hour

MSN Money 04 August, 2021 - 09:10pm

President Joe Biden has endorsed raising the federal minimum wage to $15 an hour, and although Congress has not acted, prominent companies have pledged to plump up workers' paychecks. CVS is the latest to make news with a promise to raise its minimum wage. Here are some other notable companies trying to attract (and keep) employees with higher wages. 

Related: Can You Guess the Minimum Wage the Year You Were Born?

CVS announced in August that it will start increasing wages for hourly workers and reach at least $15 an hour for all 300,000 employees by next July. The pharmacy retailer will also boost starting rates for positions such as pharmacy technicians and call center representatives above $15. A majority of existing employees don't have to wait for the increase: Roughly 65% already make more than $15 an hour.

Related: Companies Dangle Ever-Bigger Perks to Lure Reluctant Workers

Workers at Bank of America were already making at least $17 an hour starting in May 2019, but the company went a step further later in the year, saying it would boost its minimum wage to $20 in 2020 — and in May came news the bank will up that number to $25 in 2025. That represents an increase of $13 an hour since 2010, Bank of America has said. In January, it also gave lower-paid employees a one-time $750 bonus for their efforts during the pandemic. 

Related: The Biggest Lawsuit Settlements Against Companies

Plenty of restaurants are struggling to find workers, and Chipotle is no exception. The chain said it would raise its average wage to $15 an hour by the end of June, a move it hoped would help it hire at least 20,000 new employees. Restaurants say they're having a tough time finding enough staff for a number of reasons, including competition from other industries, pandemic safety concerns, child care issues, and government aid in the form of stimulus checks and boosted unemployment benefits.

Related: Which State Has the Highest Minimum Wage?

The nation's most prominent warehouse club started paying workers at least $16 an hour in March, a wage bump that comes only two years after the chain committed to a $15 minimum wage. Costco chief executive W. Craig Jelinek, who testified in front of the U.S. Senate in support of a federal minimum wage of at least $15, says the move simply makes sense for the company because it reduces employee turnover and maximizes productivity. More than half of Costco's hourly workers actually make $25 or more, Jelinek says. 

Related: Things You Probably Didn't Know About Costco

This Boston-based online furniture and home goods retailer said in January that it had bumped its minimum wage to $15, a move that would raise the pay of nearly half of its 8,000 hourly workers. The company had already been paying many workers a $2-an-hour premium during the pandemic, as well as offering other benefits such as emergency paid time off and child care support. 

For more important stories about life in the pandemic, please sign up for our free newsletters.

More than 8,000 part-time and full-time workers at Under Armour (about 90% of the company's retail and distribution workforce in the U.S. and Canada) were set to get a raise starting June 6. Starting pay jumped from $10 an hour to $15 an hour. The increase may help the company fill 3,000 open positions it had at the time.

Not all Starbucks workers make $15 an hour yet, but the coffee giant pledged in December to ensure that happens "within two to three years." Starbucks made the promise in a letter to congressional officials in support of pandemic-related relief measures for small businesses. It is already one of the few companies that offers part-time workers health benefits and other perks such as tuition reimbursement. 

Related: 16 Things You Didn’t Know About Starbucks

Amazon started paying all of its workers at least $15 an hour in November, including the temporary and seasonal hires crucial to helping the ecommerce giant stay on top of its busy holiday season. The company has also been vocal in its support for a nationwide $15 minimum wage. Still, some critics say the wage is still paltry compared with what warehouse workers should be making, and has driven down industry averages where Amazon has opened fulfillment centers. 

Related: Jeff Bezos and Other High-Profile CEOs Who Stepped Down From Their Companies

This electronics juggernaut said it would begin paying workers at least $15 an hour starting in August 2020, noting that it had also been providing "incremental hourly appreciation pay" for frontline workers since the end of March. The news isn't all good, though: Best Buy announced in February that it would lay off 5,000 workers and add 2,000 part-timers to better align demand with customers who are doing more of their shopping online.  

Related: 18 Critical Steps to Take When You’ve Been Laid Off

Target raised its minimum wage to $15 beginning in July. It also gave frontline workers a one-time $200 pandemic bonus. The bump in pay represents a $4 hike in three years; in September 2017, Target's starting wage was $11. The move has put pressure on Target's closest big-box rival, Walmart, which is paying a minimum wage of $11 despite having raised pay for some workers enough to bump its average to $15 an hour. 

Related: How to Help the Essential Workers on the Front Lines of the Coronavirus Fight

This parent company of Spectrum Internet said in April that it would raise starting pay to a minimum of $20 an hour over the next two years. The company had already been paying employees at least $15 an hour, and kicked off the process with a $1.50 retroactive pay bump for frontline workers. Another $1.50 increase is set to go into effect in March. 

Related: Big Names and Companies That Rebranded to Avoid Being Canceled

Perhaps spurred on by its faster-acting banking rivals, Wells Fargo said in March that workers in many of its higher cost-of-living markets would be paid at least $20 an hour by the end of the year. The mega bank had already raised its minimum wage to $15 in March 2018. Lower-paid full-time workers also got a $600 pandemic bonus last year — steps that might help public perception of a bank that keeps getting caught committing fraud.

Related: Times Companies Tried to Trick Consumers

It shouldn't come as a surprise that this famously progressive ice cream company is committed to high wages: All of its Vermont-based full-time workers made a minimum of $18.13 an hour in 2020. But as Mashed notes, that generous wage doesn't necessarily extend to hourly employees in other states, where scoopers and others may make closer to $11 an hour. 

Related: Things You Didn't Know About Ben & Jerry's

Midwest-based Fifth Third joined its larger banking rivals in August 2019, saying it would increase its minimum hourly wage to $18, a move that affected nearly 5,000 of its roughly 20,000 employees. Fifth Third had previously raised its minimum wage to $15 from $12 in January 2018. 

Facebook has paid its workers at least $15 an hour since 2015, but the company said in May 2019 that it would commit to at least a $20-an-hour wage in high cost-of-living markets such as San Francisco, New York, and Washington, D.C. The announcement came on the heels of criticism that the social network's content moderators were underpaid, especially given the stressful nature of their jobs. 

Related: Companies That Changed American Culture for Better or Worse

It might not seem much of a stretch for a flush tech company such as Google to pay at least $15 an hour, but it didn't happen until the end of 2019. The pay bump, announced in April 2019, came in response to protests that Google's many temporary and third-party workers — reportedly half its workforce — got inadequate pay and benefits. Google also said it would require health care coverage, parental leave, and tuition reimbursement for those workers. 

Related: Companies Doing Good Deeds With Your Dollars

The Happiest Place on Earth may live up to its billing even more starting in October, when its minimum wage will reach $15 an hour. The pay bump is the culmination of a deal struck between Disney and its largest union in August 2018, when the starting wage was $10. Disneyland workers got at least $15 an hour starting in January 2019. 

Related: 25 Ways Disney Revolutionized Entertainment

This renowned medical center, one of Ohio's largest employers, said in December 2018 that it would raise the minimum wage for hourly workers to $15 by 2020, a move that would affect nearly 3,000 of its 52,000 employees. In 2015, Cleveland Clinic had boosted its minimum wage to $12.

Related: 20 Work Benefits You Shouldn't Overlook in Your Job Hunt

Chase workers in more than 100 cities — roughly 22,000 in total — got a raise in February 2018, bumping pay from between $12 and 16.50 an hour to between $15 and $18. Later reports put the minimum wage at $16.50 for all workers. CEO Jamie Dimon has said he's in favor of higher wages for workers, but would not commit to matching Bank of America's $20 starting wage when challenged on the issue in a hearing on Capitol Hill in 2019. 

Related: Scary Cyberattacks That Hacked Millions of Users

In January 2018, Cigna committed to paying its workers at least $16 an hour, with many employees getting salary increases beyond that mark. It also said it would pump $30 million into 401(k) matching so that employees would get an additional 1% contribution match for the year. 

Related: How Will the Pandemic Affect My Health Insurance Costs?

One of the nation's largest health insurers was one of the first big companies to announce that all of its workers would make over the $15-an-hour threshold, pledging a minimum wage of $16 for all workers starting in April 2015. The move averaged out to an 11% pay bump for employees, though some saw as much as a 33% raise. 

Related: Companies With Part-Time Work-From-Home Jobs

Like us on Facebook to see similar stories

Please give an overall site rating:

CVS, Costco, and other companies paying at least $15 an hour

WPVI-TV 04 August, 2021 - 09:10pm

President Joe Biden has endorsed raising the federal minimum wage to $15 an hour, and although Congress has not acted, prominent companies have pledged to plump up workers' paychecks. CVS is the latest to make news with a promise to raise its minimum wage. Here are some other notable companies trying to attract (and keep) employees with higher wages. 

Related: Can You Guess the Minimum Wage the Year You Were Born?

CVS announced in August that it will start increasing wages for hourly workers and reach at least $15 an hour for all 300,000 employees by next July. The pharmacy retailer will also boost starting rates for positions such as pharmacy technicians and call center representatives above $15. A majority of existing employees don't have to wait for the increase: Roughly 65% already make more than $15 an hour.

Related: Companies Dangle Ever-Bigger Perks to Lure Reluctant Workers

Workers at Bank of America were already making at least $17 an hour starting in May 2019, but the company went a step further later in the year, saying it would boost its minimum wage to $20 in 2020 — and in May came news the bank will up that number to $25 in 2025. That represents an increase of $13 an hour since 2010, Bank of America has said. In January, it also gave lower-paid employees a one-time $750 bonus for their efforts during the pandemic. 

Related: The Biggest Lawsuit Settlements Against Companies

Plenty of restaurants are struggling to find workers, and Chipotle is no exception. The chain said it would raise its average wage to $15 an hour by the end of June, a move it hoped would help it hire at least 20,000 new employees. Restaurants say they're having a tough time finding enough staff for a number of reasons, including competition from other industries, pandemic safety concerns, child care issues, and government aid in the form of stimulus checks and boosted unemployment benefits.

Related: Which State Has the Highest Minimum Wage?

The nation's most prominent warehouse club started paying workers at least $16 an hour in March, a wage bump that comes only two years after the chain committed to a $15 minimum wage. Costco chief executive W. Craig Jelinek, who testified in front of the U.S. Senate in support of a federal minimum wage of at least $15, says the move simply makes sense for the company because it reduces employee turnover and maximizes productivity. More than half of Costco's hourly workers actually make $25 or more, Jelinek says. 

Related: Things You Probably Didn't Know About Costco

This Boston-based online furniture and home goods retailer said in January that it had bumped its minimum wage to $15, a move that would raise the pay of nearly half of its 8,000 hourly workers. The company had already been paying many workers a $2-an-hour premium during the pandemic, as well as offering other benefits such as emergency paid time off and child care support. 

For more important stories about life in the pandemic, please sign up for our free newsletters.

More than 8,000 part-time and full-time workers at Under Armour (about 90% of the company's retail and distribution workforce in the U.S. and Canada) were set to get a raise starting June 6. Starting pay jumped from $10 an hour to $15 an hour. The increase may help the company fill 3,000 open positions it had at the time.

Not all Starbucks workers make $15 an hour yet, but the coffee giant pledged in December to ensure that happens "within two to three years." Starbucks made the promise in a letter to congressional officials in support of pandemic-related relief measures for small businesses. It is already one of the few companies that offers part-time workers health benefits and other perks such as tuition reimbursement. 

Related: 16 Things You Didn’t Know About Starbucks

Amazon started paying all of its workers at least $15 an hour in November, including the temporary and seasonal hires crucial to helping the ecommerce giant stay on top of its busy holiday season. The company has also been vocal in its support for a nationwide $15 minimum wage. Still, some critics say the wage is still paltry compared with what warehouse workers should be making, and has driven down industry averages where Amazon has opened fulfillment centers. 

Related: Jeff Bezos and Other High-Profile CEOs Who Stepped Down From Their Companies

This electronics juggernaut said it would begin paying workers at least $15 an hour starting in August 2020, noting that it had also been providing "incremental hourly appreciation pay" for frontline workers since the end of March. The news isn't all good, though: Best Buy announced in February that it would lay off 5,000 workers and add 2,000 part-timers to better align demand with customers who are doing more of their shopping online.  

Related: 18 Critical Steps to Take When You’ve Been Laid Off

Target raised its minimum wage to $15 beginning in July. It also gave frontline workers a one-time $200 pandemic bonus. The bump in pay represents a $4 hike in three years; in September 2017, Target's starting wage was $11. The move has put pressure on Target's closest big-box rival, Walmart, which is paying a minimum wage of $11 despite having raised pay for some workers enough to bump its average to $15 an hour. 

Related: How to Help the Essential Workers on the Front Lines of the Coronavirus Fight

This parent company of Spectrum Internet said in April that it would raise starting pay to a minimum of $20 an hour over the next two years. The company had already been paying employees at least $15 an hour, and kicked off the process with a $1.50 retroactive pay bump for frontline workers. Another $1.50 increase is set to go into effect in March. 

Related: Big Names and Companies That Rebranded to Avoid Being Canceled

Perhaps spurred on by its faster-acting banking rivals, Wells Fargo said in March that workers in many of its higher cost-of-living markets would be paid at least $20 an hour by the end of the year. The mega bank had already raised its minimum wage to $15 in March 2018. Lower-paid full-time workers also got a $600 pandemic bonus last year — steps that might help public perception of a bank that keeps getting caught committing fraud.

Related: Times Companies Tried to Trick Consumers

It shouldn't come as a surprise that this famously progressive ice cream company is committed to high wages: All of its Vermont-based full-time workers made a minimum of $18.13 an hour in 2020. But as Mashed notes, that generous wage doesn't necessarily extend to hourly employees in other states, where scoopers and others may make closer to $11 an hour. 

Related: Things You Didn't Know About Ben & Jerry's

Midwest-based Fifth Third joined its larger banking rivals in August 2019, saying it would increase its minimum hourly wage to $18, a move that affected nearly 5,000 of its roughly 20,000 employees. Fifth Third had previously raised its minimum wage to $15 from $12 in January 2018. 

Facebook has paid its workers at least $15 an hour since 2015, but the company said in May 2019 that it would commit to at least a $20-an-hour wage in high cost-of-living markets such as San Francisco, New York, and Washington, D.C. The announcement came on the heels of criticism that the social network's content moderators were underpaid, especially given the stressful nature of their jobs. 

Related: Companies That Changed American Culture for Better or Worse

It might not seem much of a stretch for a flush tech company such as Google to pay at least $15 an hour, but it didn't happen until the end of 2019. The pay bump, announced in April 2019, came in response to protests that Google's many temporary and third-party workers — reportedly half its workforce — got inadequate pay and benefits. Google also said it would require health care coverage, parental leave, and tuition reimbursement for those workers. 

Related: Companies Doing Good Deeds With Your Dollars

The Happiest Place on Earth may live up to its billing even more starting in October, when its minimum wage will reach $15 an hour. The pay bump is the culmination of a deal struck between Disney and its largest union in August 2018, when the starting wage was $10. Disneyland workers got at least $15 an hour starting in January 2019. 

Related: 25 Ways Disney Revolutionized Entertainment

This renowned medical center, one of Ohio's largest employers, said in December 2018 that it would raise the minimum wage for hourly workers to $15 by 2020, a move that would affect nearly 3,000 of its 52,000 employees. In 2015, Cleveland Clinic had boosted its minimum wage to $12.

Related: 20 Work Benefits You Shouldn't Overlook in Your Job Hunt

Chase workers in more than 100 cities — roughly 22,000 in total — got a raise in February 2018, bumping pay from between $12 and 16.50 an hour to between $15 and $18. Later reports put the minimum wage at $16.50 for all workers. CEO Jamie Dimon has said he's in favor of higher wages for workers, but would not commit to matching Bank of America's $20 starting wage when challenged on the issue in a hearing on Capitol Hill in 2019. 

Related: Scary Cyberattacks That Hacked Millions of Users

In January 2018, Cigna committed to paying its workers at least $16 an hour, with many employees getting salary increases beyond that mark. It also said it would pump $30 million into 401(k) matching so that employees would get an additional 1% contribution match for the year. 

Related: How Will the Pandemic Affect My Health Insurance Costs?

One of the nation's largest health insurers was one of the first big companies to announce that all of its workers would make over the $15-an-hour threshold, pledging a minimum wage of $16 for all workers starting in April 2015. The move averaged out to an 11% pay bump for employees, though some saw as much as a 33% raise. 

Related: Companies With Part-Time Work-From-Home Jobs

Like us on Facebook to see similar stories

Please give an overall site rating:

CVS Health says the peak of Covid vaccinations has already happened

CNBC 04 August, 2021 - 02:22pm

On an earnings call, she said the drugstore chain has administered 30 million shots and continues to provide them in stores across the country. Yet she said vaccination rates have slowed since April — even as the coronavirus delta variant has led to a new surge of cases in parts of the country with large unvaccinated populations.

The company lowered its outlook for the number of vaccines it plans to administer this year, after the number that it provided dropped off in May and June, CVS' chief financial officer, Shawn Guertin, said on the call. He said the company now expects to give between 32 million and 36 million doses this year. That's lower than the 29 million to 44 million doses that it said it anticipated in February.

However, the retailer raised its earnings forecast for the year.

CVS gave a vaccination update and shared second-quarter results during an inflection point in the coronavirus pandemic. More than 70% of U.S. adults have now gotten at least one dose of a Covid vaccine, but cases are rapidly rising in states like Florida and Texas where the vaccination rates remain low. The seven-day average of daily coronavirus cases in the country is now higher than last summer's peak — a time when the U.S. did not yet have an approved Covid vaccine.

The rising cases, fueled by the delta variant, have prompted some retailers to reinstate mask mandates, companies to require vaccinations and politicians to announce new safety measures. It has also created new uncertainty as companies try to get workforces back to the office and make earnings forecasts.

Drugstore competitor Walgreens Boots Alliance said Wednesday it has seen a surge in vaccination rates in recent weeks in states that had lagged behind, such as Alabama, Florida, Georgia and Kentucky. It said it has administered more than 29 million Covid vaccines at its stores.

Guertin said CVS is still trying to understand what the delta variant may mean for its business, which includes Aetna, the health insurer that it acquired. He said it did not factor booster shots into its full-year outlook and included a limited contribution from pediatric vaccines.

CVS had higher profits in the second quarter of last year compared with the most recent one as health-care facilities canceled elective surgeries to free up hospital beds. Some have begun to cancel those medical procedures again — but it is too premature to tell how widespread that will be, Guertin said.

He said vaccinations were down in July compared with the month prior, but there has been an uptick as the delta variant inspires some people to get first doses. Covid testing and retail sales at stores have remained strong, he said.

However, he said the company's Covid-related costs have also been higher than expected on the health benefits side of its business — an expense that will persist if more people need treatment.

Ashtyn Evans, an equity research analyst at Edward Jones, said she doesn't expect CVS to see the same level of cost savings and sales growth during this wave of the pandemic. For instance, she said, customers are unlikely to repeat heavy stockpiling of prescriptions and health supplies. Plus, Evans said, even if elective surgeries slow, they can only be put off for so long. She said the company will also have to absorb higher medical costs, if more people are hospitalized because of Covid-19.

Going forward, Evans said, CVS will have to drive growth and lift profits in other ways — such as turning people who came for a Covid test or shot into a lasting customer and adding health-care services that keep them coming back.

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