Dive Brief:
- Walmart will pay employees another cash bonus to recognize them for their work during the COVID-19 pandemic, according to a company press release. The bonus will be available to associates employed as of June 5, and will be paid out June 25.
- Full-time hourly associates will receive $300, and part-time hourly and temporary associates will receive $150. In total, Walmart will award more than $390 million in special bonuses with the payout.
- This will be the third round of bonuses the company has given since the coronavirus outbreak, bringing Walmart's total commitment to more than $935 million in bonus pay this year.
Dive Insight:
While some retailers are scaling back bonuses and extra pay as scheduled end dates for the additional compensation come and the country takes steps to reopen, Walmart is renewing its financial commitment to its team.
In March, grocers large and small began offering special bonuses and temporary bumps in hourly pay as authorities issued stay-at-home orders and businesses shut down, focusing attention on grocery store workers.
Since then, several retailers, including Target, Amazon, SpartanNash and H-E-B, have extended wage increases and doled out additional bonuses at least once. Some grocers will offer increased compensation through May, while others are about to stop providing workers with extra pay.
This Sunday, Kroger will end its $2 an hour pay raise for its employees, which was instituted March 21 alongside a one-time bonus and extended in April. The company said in a statement that this was the scheduled end for the temporary hero pay, and that it would continue to support its associates and their needs in the coming months. The move is already receiving backlash from the United Food and Commercial Workers Union, which has set up a petition to ask Kroger to bring the additional pay back.
Other grocers have made their pay increases permanent. Natural Grocers said in April that $1 of its $2 "hero pay" would remain in place after the pandemic.
