Target Says It Will Raise Minimum Wage To $15/Hour By 2020
MINNEAPOLIS (WCCO) -- Thousands of Target workers across the country are getting a raise. The Minneapolis-based retailer announced it will bump its starting salary from the current $10 an hour to $11 starting Sunday, Oct. 1.
Then by the end of 2020, employees at all of its stores will be paid at least $15 an hour.
It's no secret Target execs are focusing on their stores, that's where 90 percent of sales come from. From redesigned floor plans to exclusive brands like Chip and Joanna Gaines, brick and mortar business is top priority. Jenna Reck is a spokesperson for Target.
"We're investing in our stores, we're investing in our supply chain, we're investing in distribution, we're investing in remodeling stores and so we know what brings all of that to life is the team that we have in stores," Reck said.
Store employees known as "team members" in all stores will soon be making $11 an hour minimum and eventually $15.
Tyrone Muchko of Minneapolis is a Target shopper.
"I think that's a fair wage because it's costing a lot more for personal needs and stuff to be able to make it and I think $15 an hour is more than fair," Muchko said.
And if you look at the numbers, while the state minimum wage is $9.50 in Minnesota, it's $7.25 in Wisconsin.
And in states like Wyoming and Georgia state minimum wage is just $5.15. The federal minimum wage is $7.25.
"There's lots of markets now where that minimum wage is significantly below $11 so we are going to be in an even more competitive position in jobs within that market," Reck said.
Target says the increases will help recruit and retain. Self-described Target addict Anna Zagaria Meyer says she doesn't mind if it trickles down.
"I would be willing to pay a little bit more, I think it's, everyone deserves a fair wage," she said.
The increases do effect holiday workers, that's why they are implementing the $11 on Oct. 1. If you're interested in the 100,000 holiday job openings, click here.