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A sign that the labor market is finally turning? Wal-Mart to give raises to ~500k employees

Axulus

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Right leaning skeptic
Wal-Mart told The Associated Press that as part of $1 billion its spending to change the way it trains and pays workers, the company will give raises to nearly 40 percent of its 1.3 million U.S. employees in the next six months.

In addition to raises, Wal-Mart said it plans to make changes to how workers are scheduled and add training programs for sales staff so that employees can more easily map out their future at the company.

Start raising entry level wages to at least $9 an hour in April and to at least $10 an hour by February of next year. That includes the less than 6,000 workers who make the federal minimum wage. Sam's Club locations will offer a starting hourly wage of at least $9.50 or higher in all markets, and at least $10.50 by next year.

— Raise the floor and ceiling of its pay range for each position in most stores. For example, the pay range for cashiers is $7.65 to $16. The new range will be $9.00 to $17.55.

—Raise the starting wage for some department managers to at least $13 an hour by this summer and at least $15 an hour by early next year.

— Give newly hired workers a $9 per hour training wage and when they successfully complete the six-month training program, raise it to $10 an hour. Those workers can pursue one of three career paths: hourly supervisor, a specialty path like working in a bakery or deli or expand their skills in their current role.

— Give hourly workers hands-on training in areas including teamwork, merchandising, retail fundamentals and communications. Store leaders like hourly supervisors will get refresher training on people leadership skills so that they can help workers grow and advance.

— Roll out a program that offers some workers fixed schedules so they can be able to choose the same hours each week. The program is being tested in Wichita, Kansas.

— Team up with its nonprofit, Walmart Foundation, to invest a total of $100 million spread over the next five years to support programs that help advance careers for entry level workers in the industry.

http://finance.yahoo.com/news/nearly-40-percent-wal-marts-135311963.html

Other signs of the job market's improvement:

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Unemployment rate

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The best news in [the January job] report was that average hourly earnings (which doesn’t include fringe benefits like health care or tips, irregular bonuses, or commissions), increased 0.5% in January and are up 2.2% from a year ago.

http://www.ftportfolios.com/blogs/EconBlog/2015/2/6/nonfarm-payrolls-increased-257,000-in-january
 
I wonder how many people Wal-Mart will have to layoff in order to compensate for these higher wages?
 
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