Target announced Monday that it is raising its starting wage for workers in some positions to up to $24. The retailer said the increase would apply to hourly workers at discount stores, supply chain facilities, and headquarters.
The Minneapolis-based retailer in 2020 set its minimum wage at $15. That will remain in place, but Target said some workers would qualify for higher starting pay based on the nature of their job and the prevailing competitive wages in their local market. Target, which employs more than 350,000 workers and has over 1,900 US stores, said the hike in some starting wages is part of its plan to spend an additional $300 million on its workforce.
That investment also includes expanding access to healthcare benefits for hourly workers, beginning in April. Under the plan, Target hourly employees who work a minimum average of 25 hours a week will be eligible to enroll in a company medical plan. That’s down from the previous requirement of 30 hours per week.
The Minneapolis-based retailer also reduces the waiting period for qualified hourly team members to enroll in a Target medical plan. Depending on their position, employees will get comprehensive health care benefits three to nine months sooner. Employees will also get faster access to 401(k) plans.