Costco increased its starting wage for hourly employees to $17.
The retailer informed employees of the change last week, according to Business Insider. The previous starting wage was $16.
The increase is in line with recent pay bumps from Costco, which raised its minimum to $14 in 2018 and $15 in 2019. The company boosted the wage to $16 an hour in February 2021, less than a year ago.
“These increases are part of Costco’s continuing efforts to ensure our hourly wages remain extremely competitive in the retail industry,” Costco CEO Craig Jelinek wrote in a memo to employees, according to TODAY.
“Effective October 25, 2021, we will adjust the starting hourly wages for new employees in the U.S. to $17.00/hour for Service Assistants, $18.00/hour for Service Clerks and $18.50/hour for Meat Cutters,” according to the memo. “Current U.S. employees making less than these rates will be moved up to these rates on their scales, and their goal hours will be reset.”
Costco has about 189,000 full- and part-time employees in the U.S.