Walmart is raising wages and issuing bonuses after tax reform (WMT)

AP

  • Walmart is raising wages and issuing one time bonuses to employees.
  • The company's CEO said it's a move to try and stay competitive.
  • Watch Walmart trade in real time here.


Walmart said it will raise the starting wage for its employees, and issue one time bonuses up to $1,000, as a direct result of the new US tax plan.

Shares of the retailer are trading 0.36% higher at $100.03 after the announcement.

Walmart is raising its starting hourly wage to $11, a move that will cost the company $300 million in addition to previously planned wage hikes. The company is also issuing bonuses based on seniority that will top out at $1,000. The bonuses are expected to cost another $400 million.

Walmart employs 2.3 million people worldwide, according to the company.

Issuing one time bonuses has been a popular response after US President Donald Trump signed his party's new tax plan into law. The new law cuts the corporate tax rate to 21%, down from 35%.

“Tax reform gives us the opportunity to be more competitive globally and to accelerate plans for the US,” Doug McMillon, CEO of Walmart, said in a news release.

Walmart has gained 1.16% so far this year.

Read more about the potential growth Netflix still has ahead of it.

Walmart is raising wages and issuing bonuses after tax reform (WMT)- Top Financial

View photos

walmart stock price

Markets Insider

NOW WATCH: The CIO of a crypto hedge fund shares the 3 biggest risks of investing in cryptocurrencies

See Also:

  • Bill Gates and Steve Jobs raised their kids tech-free — and it should've been a red flag
  • Toyota is adding Amazon's Alexa to cars. We've been using Alexa in a car for 6 months and it's the best infotainment system we've ever used.
  • There's a term for people born in the early 80's who don't feel like a millennial or Gen Xer

SEE ALSO: Netflix still has a ton of room to grow — even with Disney in the ring

0 Comment

NO COMMENTS

LEAVE A REPLY

Captcha image