Target's current starting wage is $15 per hour, more than double the federal minimum wage—and in some areas, it's going to go a lot higher. The company said Monday that it plans to spend an extra $300 million this year to attract and retain workers with moves that include raising starting pay for workers in stores and distribution centers to $24 an hour in some areas, the Wall Street Journal reports. The company also plans to make more workers eligible for health benefits. In a move that Target said would affect a fifth of its workforce, the company will lower the threshold for qualifying for health benefits from 30 hours work a week to 25 starting in April.
Target didn't disclose Monday where it plans to pay the highest starting wage, but it said it aims to be "a wage leader in every market where it operates." The most competitive markets for workers include New York, where the minimum wage is $15 per hour in the New York City area and $13.20 statewide. In 2017, Target led the way among major retailers when it said it would raise its starting wage to $15 by 2020, the AP notes. Rivals including Best Buy, Costco, and Amazon are now paying starting wages of $15 an hour or more, though Walmart's starting wage is $12 per hour, which went up from $11 last fall. (More Target stories.)
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