![[US] IKEA raises minimum wage to $16 and adds more benefits](http://globalpayrollassociation.com/cdn/shop/articles/bigstock-People-In-Medical-Masks-At-The-394412153_1200x.jpg?v=1636638146)
Another US retailer is making a move to attract workers in the current challenging labour market by increasing its minimum wage and adding benefits. From the new year IKEA’s minimum wage is going up, Chain Store Age reports.
On the day that Macy’s announced a wage increase and increased staff benefits, IKEA US said it would raise its starting wage for US workers to $16 per hour, with some hourly wages starting at $17 or $18 depending on location. The increase is effective from January 1 and will apply to all full-time, part-time, temporary and seasonal employees in the US. IKEA said the increase will take its average hourly wage to $20.
The Swedish retail giant has also reportedly enhanced its comprehensive benefits package to include a minimum of five weeks of paid leave from work for all employees, education assistance and backup child and adult care. It also has added more inclusive health care benefits.
IKEA said a majority of US employees will also receive the “One IKEA Bonus” - a performance-based payout totalling $76 million - the bonus is in addition to a one-time Ingka global appreciation gift by IKEA parent Ingka Group of $17 million to be distributed among all US workers, which was announced in October.
IKEA US enjoyed one of its most successful years to date in its most recent fiscal year (to August 21, 2021), with nearly $5.89 billion in total sales of goods and services; a 25 per cent increase from the previous year.
“Every day I am humbled by our 17,000 co-workers, each of whom makes our success as a company possible and contributes to our commitment to creating better homes, better communities, and a better planet,” Javier Quiñones - CEO and chief sustainability officer for IKEA US - said, “I am proud of everything we have accomplished over the past year, and we will continue to seek opportunities to grow our compensation and benefits offer and share our success with our co-workers.”
Along with the increased starting wage and enhanced benefits announcement, IKEA US released its 2021 Annual Summary, highlighting how the company has continued its journey to transform the way it does business to become more accessible and sustainable for the many.
Aligned with the company's stated focus on an enhanced omnichannel experience for customers, e-commerce represented 21.8 per cent of sales in 2021. The company said it has a solid plan to continue to grow its business by bringing new IKEA formats to cities. Most recently, the company announced the creation of two “planning studios” in the Los Angeles area.
Source: Chain Store Age
(Links via original reporting)
Another US retailer is making a move to attract workers in the current challenging labour market by increasing its minimum wage and adding benefits. From the new year IKEA’s minimum wage is going up, Chain Store Age reports.
On the day that Macy’s announced a wage increase and increased staff benefits, IKEA US said it would raise its starting wage for US workers to $16 per hour, with some hourly wages starting at $17 or $18 depending on location. The increase is effective from January 1 and will apply to all full-time, part-time, temporary and seasonal employees in the US. IKEA said the increase will take its average hourly wage to $20.
The Swedish retail giant has also reportedly enhanced its comprehensive benefits package to include a minimum of five weeks of paid leave from work for all employees, education assistance and backup child and adult care. It also has added more inclusive health care benefits.
IKEA said a majority of US employees will also receive the “One IKEA Bonus” - a performance-based payout totalling $76 million - the bonus is in addition to a one-time Ingka global appreciation gift by IKEA parent Ingka Group of $17 million to be distributed among all US workers, which was announced in October.
IKEA US enjoyed one of its most successful years to date in its most recent fiscal year (to August 21, 2021), with nearly $5.89 billion in total sales of goods and services; a 25 per cent increase from the previous year.
“Every day I am humbled by our 17,000 co-workers, each of whom makes our success as a company possible and contributes to our commitment to creating better homes, better communities, and a better planet,” Javier Quiñones - CEO and chief sustainability officer for IKEA US - said, “I am proud of everything we have accomplished over the past year, and we will continue to seek opportunities to grow our compensation and benefits offer and share our success with our co-workers.”
Along with the increased starting wage and enhanced benefits announcement, IKEA US released its 2021 Annual Summary, highlighting how the company has continued its journey to transform the way it does business to become more accessible and sustainable for the many.
Aligned with the company's stated focus on an enhanced omnichannel experience for customers, e-commerce represented 21.8 per cent of sales in 2021. The company said it has a solid plan to continue to grow its business by bringing new IKEA formats to cities. Most recently, the company announced the creation of two “planning studios” in the Los Angeles area.
Source: Chain Store Age
(Links via original reporting)