(ABC4) – For the second time this year, Costco has announced that they will be raising their minimum wage for store employees in the United States.
The company will be raising its minimum wage from $16 to $17 beginning on Monday.
Back in February, Costco raised its minimum wage to $16, and now eight months later, is offering its employees more, once again.
As businesses are finding ways to work against the labor shortage, some like Costco are choosing to raise their minimum wage as a way to get more workers and retain them.
According to data from the Bureau of Labor Statistics, the average hourly earnings of a worker as of September 2021 is $30.85. Around this time last year, the average American was making $29.50 an hour.
Costco’s minimum wage is now $2 per hour above Amazon and Target and $5 an hour above Walmart’s.
The labor shortage has gotten so bad that some companies have had to send members of their corporate team across the country to work in their restaurants.
It’s not just the retail and restaurant industry that is suffering from the labor shortage.