Walmart Raises Its Minimum Wage To $9 An Hour

The retailer is America’s biggest private employer. It’s minimum wage will rise to $9 an hour this year, and $10 an hour in 2016.

Walmart, America's biggest private employer, is boosting wages for its workers.

The retailer said its starting wage in U.S. stores will increase to $9 an hour in April, and rise to $10 an hour in 2016. Some department managers will see a pay raise to $13 an hour this summer. About 500,000 associates will get a raise from the change in the first half of this year, Walmart said in a statement today.

CEO Doug McMillon alluded to worker dissatisfaction in a blog post announcing the changes today.

"We frequently get it right but sometimes we don't," he wrote. "When we don't, we adjust."

"In recent years we've had tough economic environments, a rapidly growing company, and fundamental shifts in how customers are shopping," he continued. "We also made a few changes aimed at productivity and efficiency that undermined the feeling of ownership some of you have for your business. When we take a step back, it's clear to me that one of our highest priorities must be to invest more in our people this year."

Executives emphasized on a call today that the increase didn't mean anything would be taken away from workers in exchange.

Once the changes hit in April, Walmart said it will pay an average full-time hourly wage of $13 an hour from $12.85 an hour, and an average part-time wage of $10 an hour from $9.48 an hour.

Executives on today's call also said that the changes will offer more career opportunities for Walmart employees and lead to better customer service, and eventually benefit shareholders as well. The stock fell $2.39 to $83.90 a share this morning.

Walmart shared this image on its website:

Walmart / Via blog.walmart.com

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