A year after it first announced a major minimum wage hike in its U.S. stores, Ikea said Wednesday that it plans to implement another nationwide raise to its wage floor next year, bringing the average store's starting pay to nearly $12 per hour.
The Obama administration’s plan to revise federal overtime regulations would likely “hollow out” low- and mid-level management positions in the retail industry and result in a shift toward more hourly and part-time workers, according to a new National Retail Federation (NRF) report.
Wage and hour issues are ever present in the retail industry. Retailers are under constant pressure to control expenses, the largest component of which is labor. In 2015, local, state and federal officials are poised to take actions that will likely increase the cost of labor for retailers. Retailers must remain alert for these coming changes and begin planning for their impact long before their effective dates.
An effort to raise the federal minimum wage to $10.10 failed on Wednesday, as the issue was not able to clear a procedural vote in the Senate. Senators predominantly voted across party lines, which places Democratic senators in favor and Republican senators opposed.
Gap contends its decision to increase the hourly rate it pays workers wasn’t political, but it sure looked otherwise given the timing of the move against the backdrop of the intensifying national debate over the minimum wage.
President Obama in his State of the Union address last night said he plans to sign an executive order increasing the federal minimum wage from $7.25 to $10.10 per hour for workers on new government contracts and asked Congress to approve the same increase for all workers — and the National Retail Federation is not happy.
Ikea plans to launch an employee loyalty program launch in the new year. Beginning in 2014, every employee worldwide will receive an equal contribution to their pension plan, based on the company's financial goals being met.
National Retail Federation SVP for government relations David French spoke to Fox News' Stuart Varney about D.C.’s decision to pass a living wage bill requiring non-union, big box retailers to pay their employees $12.60 per hour.
Walmart confirmed in an op-ed in the Washington Post that if the D.C. Council passes a bill setting a higher minimum wage for large retailers, it will pull the plug on three planned stores in the Washington, D.C., area.