The Home Depot Just Increased Its Minimum Wage to $15 Per Hour
This has been a particularly rewarding year for The Home Depot thanks to fervent public interest in home improvement and a healthy housing market. Now their employees will reap some of those rewards.
Last year, Target invested $300 million to boost hourly wages. More recently, Amazon increased its starting compensation for delivery and warehouse workers to over $19 an hour. Walmart also shared its average hourly wage of over $17.50. Now, The Home Depot, which boasts 2,000 stores in the United States and nearly 200 in Canada, is the latest large chain store to enact changes to its minimum wage, raising it to $15 per hour.
If you’re wondering who The Home Depot minimum wage increase impacts and why it may have occurred, you’re in the right place to find out. It’s no secret we consider ourselves experts in all things Home Depot related, from knowing the best time to shop at The Home Depot to our collection of shopping tips, and now we have all the details on this latest development.
What Does The Home Depot’s Minimum Wage Raise Mean for Workers?
It’s a well-known fact that while working with the public, retail employees garner plenty of unforgettable experiences—and Home Depot workers definitely see some crazy things. Therefore, this increase in compensation is a long time coming. The higher Home Depot minimum wage was enacted on Feb. 6, 2023, so workers will see the change starting in their February paychecks.
The Home Depot minimum wage increase impacted all United States and Canada hourly workers and is expected to cost the organization $1 billion. While salaried team members won’t see a change reflected in their paycheck, the majority of The Home Depot’s over 470,000 employees in the States and Canada will be positively impacted because most are paid hourly.
Why Is The Home Depot Raising the Minimum Wage?
Home Depot CEO, chair, and President Ted Decker explained it best: “The most important investment we can make is in our people. We believe this investment will position us favorably in the market, enabling us to attract and retain the level of talent needed to sustain the customer experience we strive to deliver.”
The Home Depot has repeatedly demonstrated that it is passionate about offering growth opportunities for its employees—in 2022, over 65,000 associates received a promotion. The move, in addition, is strategic, as the company looks to attract top talent amongst ongoing labor shortages.
Another potential cause of recent wage increases is to starve off potential unionization efforts. In September 2022, employees at a Philadelphia, Pennsylvania-based Home Depot filed for a union election. However, a few months later, the store employees voted to reject the union in November.