There is good news for low-income wage earners! Not only are major companies giving minimum-wage increases to their lowest-paid employees, the amount of the raises is higher than what median-income wage earners are getting.
Leading the pack in increasing wages for low-income earners are:
#1 – McDonald’s
#2 – J.P. Morgan Chase
#3 – Nationwide Insurance
#4 – Walmart
#5 – Gap
#6 – Starbucks.
Nationwide Insurance, in particular, has already raised their minimum wage last year from $10.50 to $15 per hour. J.P.Morgan Chase has announced that they will increase their minimum wage to $12 per hour for 18,000 employees, and already giving Starbucks is giving 5 percent raises. Other major companies are also making similar announcements.
Why they are doing it
Since the economy is doing better with unemployment down to 5 percent, there is a smaller pool of workers for companies looking to hire. This increases the competition and has stimulated companies to raise their wages. Other companies like Nationwide have stated that their reason for increasing minimum wage salaries is to attract the best talent.
Either way, it’s a good situation for low-income workers who have struggled to pay their bills and feed their families. The Wall Street Journal stated that these wage increases are the highest they have seen since 2009.