While the national debate about the minimum wage still rages (see 1) — and many retailers oppose any increase, some retail chains have gained a competitive edge through higher wages. They believe that happy employees mean happy customers. Three such retailers are Container Store, Costco, and Whole Foods.
As reported by Jolie Lee for USA Today:
“Container Store employees make on average nearly $50,000 a year, CEO Kip Tindell says. That’s more than double the $23,690 average national salary ($11.39 per hour) of a retail sales worker, according to 2013 data from the Bureau of Labor Statistics. Even by paying employees a higher salary, the Container Store is able to make money,Tindell told Business Insider. He says that he believes a great employee is three times more productive than just a good employee. ‘You can pay them twice as much and still save, since you get three times the productivity at two times the cost,’ Tindell, who is also the incoming chairman of the National Retail Federation, said in the interview.”
“Costco employees start at $11.50 per hour and make $21 per hour on average, well above the national average. In 2013, Whole Foods paid its employees $18.89 per hour or $39,289 a year.”
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Photo: Richard Drew, AP