Nearly 40 Percent of Wal-Mart’s US Workers to Get Pay Raises

BENTONVILLE, Ark. — Wal-Mart Stores Inc. is spending $1 billion to make changes to how it pays and trains U.S. hourly workers as the embattled retailer tries to reshape the image that its stores offer dead-end jobs.

As part of its biggest investment in worker training and pay ever, Wal-Mart told The Associated Press that within the next six months it will give raises to about 500,000 workers, or nearly 40 percent of its 1.3 million U.S. employees. Wal-Mart follows other retailers that have boosted hourly pay recently, but because it’s the nation’s largest private employer, the impact of its move will be more closely watched.

In addition to raises, Wal-Mart said it plans to make changes to how workers are scheduled and add training programs for sales staff so that employees can more easily map out their future at the company.

“We are trying to create a meritocracy where you can start somewhere and end up just as high as your hard work and your capacity will enable you to go,” CEO Doug McMillon told the AP during an interview this week at the company’s headquarters in Bentonville, Arkansas.

McMillon, who became CEO last year, said he’s hoping that if the company invests in its workers, they will provide better customer service. And ultimately, he hopes that will encourage shoppers to spend more.

“We want to make it really clear that working at Wal-Mart is a great opportunity,” he said. “Time will tell what the significance of the decisions will be.”

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The New York Times